Where can digital identity take root? We believe with animals.
*Please note that these thought leadership pieces represent the views of the contributing companies and do not necessarily reflect techUK’s own position.
In the UK, digital identity is at a turning point. For much of the last decade, conversations about identity have centred on government-led pilots and somewhat niche use cases. Right-to-work, right-to-rent, and DBS checks remain the canonical examples. Whilst these examples laid the groundwork for establishing trust, compliance, and standards, the focus has been primarily regulatory rather than innovative. The recent passage of the Data (Use and Access) Act changes this. By establishing a formal governance structure for digital identity, it clears the path for adoption. The question is no longer whether digital identity will be used, but where it will first take root. Where will it begin to matter most?
The most immediate opportunity lies in financial services. Know-Your-Customer checks are cumbersome, expensive, and risk-heavy, with banks reporting high levels of abandonment during onboarding. A verifiable digital credential could compress days of document review into minutes. More importantly, it could transform onboarding from a compliance burden into a frictionless customer experience. The model here is not speculative: KPMG and others have pointed to the scale of cost savings and improved conversion that such solutions would deliver. For financial institutions operating on razor-thin margins, the incentive to adopt is already present.
Another near-term case is age verification. Retailers face rising scrutiny over the sale of alcohol, vapes, and online gambling products. Digital identity allows proof of age to be verified without exposing the entirety of one’s identity documents. A credential that can attest “over 18” or “over 21” is sufficient and avoids oversharing. This is both technically feasible and socially palatable, making it a strong candidate for early adoption.
Beyond these functional applications lies the broader promise of consent-based data sharing. The logic is straightforward: an identity wallet allows the individual to release only the attributes needed for a transaction, be that proof of address, age, or eligibility, without handing over the rest. This principle of “data minimisation” is widely recognised by regulators as both privacy-preserving and innovation-enabling. The government’s interest in a “GOV.UK Wallet” is precisely to test this model. If successful, it could reshape the relationship between citizens, data, and services.
The more ambitious opportunities sit within health and public services. Accessing medical records, confirming welfare eligibility, or verifying entitlements are all processes encumbered by bureaucracy and fragmented systems. A trusted digital identity could simplify these interactions. The barrier here is not technical feasibility but public trust. Without clear governance and demonstrable protections, the risk of citizen resistance is a real concern. Still, if framed correctly, giving individuals more control over their own data rather than less, identity could play a decisive role in streamlining the state-citizen interface.
At Pawpass, we’re focusing on animals. A single digital credential can unify health records, travel documents, and ownership details - domains that are today fragmented and paper-heavy. Identity, once trusted, can extend across multiple domains at once. For animals, that means vaccinations, insurance, and border checks can all be verified through the same credential. For people, the analogy is straightforward: a credential proven in one setting, e.g. a campus, a community, a retail ecosystem, can become the anchor for many more.
The key is selective disclosure. A pet crossing a border needs only to prove vaccination status, not reveal its full medical history. Likewise, a person buying alcohol should only prove they are over 18, not share their entire passport. Minimising data while preserving trust is what makes the model both practical and scalable.
Animals, therefore, provide a valuable environment in which to test these principles. Veterinary, travel, and welfare data already sit across multiple systems, making them an ideal gateway for a credential that consolidates and simplifies access. What matters is not technology alone, but the trust, interoperability, and governance that allow identity (whether for pets or people) to grow beyond its regulatory origins into everyday use.
The trajectory of adoption in the UK is unlikely to be a leap from zero to universal identity. It will be gradual, domain by domain, solving immediate problems and then extending into adjacent spaces. Adoption will succeed where digital identity reduces friction, lowers compliance burdens, and delivers clear consumer value. It will fail where it overreaches, undermines privacy, or demands trust that has not yet been earned.
The UK is therefore at a formative stage. The legal scaffolding is in place, the frameworks are beginning to mature, and private actors are testing models that could carry identity into daily life. The task ahead is to identify the early use cases, e.g. financial onboarding, age verification, consented data sharing, that can build momentum, while preparing for more complex applications in health, welfare, and community infrastructure.
I hope that if Pawpass can illustrate anything, it is that digital identity need not remain confined to government checks. It can be practical, cross-domain, and valuable in daily life. That, ultimately, is the opportunity: to move identity from the margins of regulation to the centre of ordinary interaction.
Author
Julia Kemp
CEO & Founder, Pawpass
Digital Identity programme activities
Digital identities will provide a gateway for citizens and SMEs into the digital economy. techUK members demonstrate the benefits of digital identity to emerging markets, raise their profile as thought leaders, influence policy outcomes, and strengthen their relationships with potential clients and decision-makers. Visit the programme page here.
Digital ID campaign week 2025! 🔐
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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.
Associate Director - Technology and Innovation, techUK
Laura Foster
Associate Director - Technology and Innovation, techUK
Laura is techUK’s Associate Director for Technology and Innovation.
Laura advocates for better emerging technology policy in the UK, including quantum, future of compute technologies, semiconductors, digital ID and more. Working alongside techUK members and UK Government she champions long-term, cohesive, and sustainable investment that will ensure the UK can commercialise future science and technology research. Laura leads a high-performing team at techUK, as well as publishing several reports on these topics herself, and being a regular speaker at events.
Before joining techUK, Laura worked internationally as a conference researcher and producer exploring adoption of emerging technologies. This included being part of the team at London Tech Week.
Laura has a degree in History (BA Hons) from Durham University and is a Cambridge Policy Fellow. Outside of work she loves reading, writing and supporting rugby team St. Helens, where she is from.
Elis joined techUK in December 2023 as a Programme Manager for Tech and Innovation, focusing on Semiconductors and Digital ID.
He previously worked at an advocacy group for tech startups, with a regional focus on Wales. This involved policy research on innovation, skills and access to finance.
Elis has a Degree in History, and a Masters in Politics and International Relations from the University of Winchester, with a focus on the digitalisation and gamification of armed conflicts.
