07 Oct 2022

The new US Executive Order for transatlantic data flows: where does that leave the UK?

Businesses were pleased today by President Biden’s Executive Order proposing new commitments for EU-US data flows. While encouraging for future cross-Atlantic digital trade, decision-makers must prioritise turning this long-awaited deal into a reality.

The Order addresses the legal concerns raised in the Court of Justice of the European Union (CJEU) decision in July 2020 which invalidated the data adequacy agreement (known as Privacy Shield) relied on by many organisations transferring personal data between the EU and US.

This includes new safeguards for US Intelligence Services' access and use of personal data, redress mechanisms for individuals in such circumstances, as well as processes to review the Intelligence Community's compliance with the new requirements.

Although this marks a significant step in reaching a new data transfers agreement, there is still a lengthy process ahead for the proposal to be ratified by the European Commission, which could take anywhere as up to six months to complete. The new agreement will also have to stand the test of scrutiny from privacy and civil liberties groups which could trigger a new legal review by the CJEU.

A fragmented landscape

Since the invalidation of the Privacy Shield, businesses have operated under a period of persistent uncertainty while trying to transfer personal data between the EU and US. Alternative transfer mechanisms such as standard contractual clauses (SCCs) have proven unreliable and inaccessible for organisations of all sizes.

This has a direct impact on businesses seeking to innovate, enter new markets, offer new products to consumers, or deliver basic businesses services. By the US Chamber of Commerce’s own estimation, the data transfer relationship between the US and EU is worth around $7.1 trillion. In fact, global data flows now contribute more to global growth than global trade in goods.

While this agreement provides firm reassurance to the hundreds of businesses relying on EU-US data flows, it is long-awaited and has ultimately come at a cost to consumers and businesses trying to innovate. It has also led to delays in the UK’s own plans to reach a data adequacy agreement with the US.

The national security tensions underpinning EU-US data transfers sits at the centre of growing complexities on how personal data can flow across borders. As we see increasing fragmentation between countries and their approaches to data protection, businesses are forced to navigate complicated and often overlapping legal requirements.

This opens up questions as to whether new frameworks are needed to resolve these tensions and what role the UK could play in shaping these solutions.

Where does that leave the UK?

Separately, following a visit by US Secretary of Commerce, Gina M. Raimondo to the UK, a joint statement was published today, launching a UK-US Comprehensive Dialogue on Technology and Data.

Issued with the UK Secretary of State for Digital, Culture, Media and Sport, The Rt Hon Michelle Donelan MP, the announcement builds on a 2021 commitment to develop a bilateral Technology Partnership.

The Comprehensive Dialogue on Technology and Data includes three work strands to be focussed on in the coming year: Data; Critical and Emerging Technologies; and Secure and Resilient Digital Infrastructure, agreeing and delivering initiatives that support tangible and impactful outcomes.

Against this development, the UK Government also welcomed the signing of today's US Executive Order, committing to a speedy assessment in order to secure an adequacy decison for UK-US data sharing. The UK Government also highlighted its ambition to continue a strong bilateral relationship with the US on data transfer challenges by enaging in multilateral initiatives such as the Global Cross-Border Privacy Rules Forum and the OECD's work on Trusted Government Access to Data.

Julian David, CEO of techUK said on this announcement, "Today's progress on UK-US data sharing will be welcomed by businesses across the UK. An agreement will provide business with the legal certainty and confidence needed to access new markets and create opportunities for innovation. This will enable the UK to leverage its world-leading industries such as financial services and tech to drive wider economic growth on all sides of the Atlantic.”

Julian David, CEO of techUK, said on the signing of the Executive Order:

Julian David OBE

CEO, techUK

Julian David is the CEO of techUK, the leading technology trade association that aims to realise the positive outcomes that digital technology can achieve for People, Society, the Economy and the Planet.

He leads techUK’s nearly 100 strong team representing over a thousand British based tech companies, comprising global and national champions and more than 600 SMEs and ScaleUP companies. techUK is the voice of the tech industry in the UK with 21 member led programmes covering all of tech from ‘Chips to Clicks’ and addressing 11 market sectors from Defence and Central Government, through to Health, Consumer Electronics and Financial Services.

In 2021 techUK launched TechSkills, the employer-led accreditation organisation that aims to improve the flow of talent into the digital workforce and open up access for all to high value tech jobs.

Julian represents techUK on a number of external bodies including the Digital Economy Council, the National Cyber Security Advisory Council and the Department of Business and Trade’s Strategic Trade Advisory Group. He is member of the NTA Advisory Board of DIGITALEUROPE and is a member of the Board of the Health Innovation Network the South London Academic Health Science Network.

Julian has over thirty years of experience in the technology industry. Prior to joining techUK, he had a series of leadership roles at IBM including Vice President for Small and Medium Business and Public Sector. After leaving IBM he worked as a consultant helping tech SMEs establish successful operations in the U.K. His personal interests include Football (West Ham, Balham FC and Real Madrid) and Art.

Email:: [email protected]
Twitter:: @techUKCEO
LinkedIn:: https://www.linkedin.com/in/julian-david-8013b817/

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Sabina Ciofu

Associate Director – International, techUK

Sabina Ciofu is Associate Director – International, running the International Policy and Trade Programme at techUK.

Based in Brussels, she leads our EU policy and engagement. She is also our lead on international trade policy, with a focus on digital trade chapter in FTAs, regulatory cooperation as well as broader engagement with the G7, G20, WTO and OECD.

As a transatlanticist at heart, Sabina is a GMF Marshall Memorial fellow and issue-lead on the EU-US Trade and Technology Council, within DigitalEurope.

Previously, she worked as Policy Advisor to a Member of the European Parliament for almost a decade, where she specialised in tech regulation, international trade and EU-US relations.

Sabina loves building communities and bringing people together. She is the founder of the Gentlewomen’s Club and co-organiser of the Young Professionals in Digital Policy. Previously, as a member of the World Economic Forum’s Global Shapers Community, she led several youth civic engagement and gender equality projects.

She sits on the Advisory Board of the University College London European Institute, Café Transatlantique, a network of women in transatlantic technology policy and The Nine, Brussels’ first members-only club designed for women.

Sabina holds an MA in War Studies from King’s College London and a BA in Classics from the University of Cambridge.

Email:: [email protected]
Phone:: +32 473 323 280
Website:: www.techuk.org

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Sue Daley OBE

Director, Technology and Innovation

Sue leads techUK's Technology and Innovation work.

This includes work programmes on cloud, data protection, data analytics, AI, digital ethics, Digital Identity and Internet of Things as well as emerging and transformative technologies and innovation policy.

In 2025, Sue was honoured with an Order of the British Empire (OBE) for services to the Technology Industry in the New Year Honours List.

She has been recognised as one of the most influential people in UK tech by Computer Weekly's UKtech50 Longlist and in 2021 was inducted into the Computer Weekly Most Influential Women in UK Tech Hall of Fame.

A key influencer in driving forward the data agenda in the UK, Sue was co-chair of the UK government's National Data Strategy Forum until July 2024. As well as being recognised in the UK's Big Data 100 and the Global Top 100 Data Visionaries for 2020 Sue has also been shortlisted for the Milton Keynes Women Leaders Awards and was a judge for the Loebner Prize in AI. In addition to being a regular industry speaker on issues including AI ethics, data protection and cyber security, Sue was recently a judge for the UK Tech 50 and is a regular judge of the annual UK Cloud Awards.

Prior to joining techUK in January 2015 Sue was responsible for Symantec's Government Relations in the UK and Ireland. She has spoken at events including the UK-China Internet Forum in Beijing, UN IGF and European RSA on issues ranging from data usage and privacy, cloud computing and online child safety. Before joining Symantec, Sue was senior policy advisor at the Confederation of British Industry (CBI). Sue has an BA degree on History and American Studies from Leeds University and a Masters Degree on International Relations and Diplomacy from the University of Birmingham. Sue is a keen sportswoman and in 2016 achieved a lifelong ambition to swim the English Channel.

Email:: [email protected]
Phone:: 020 7331 2055
Twitter:: @ChannelSwimSue,@ChannelSwimSue

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