For many businesses, the term GDPR (or, since 2021, UK GDPR) doesn’t have positive associations. When it crops up, it usually relates to red tape, extra costs or the looming threat of a significant fine if something goes wrong. But there’s another way to look at it.
In a world where headlines about hacks and data leaks seem to crop up weekly, one of your biggest assets as a business is trust. And robust data governance is the foundation on which that trust is built. That means that your data protection strategy isn’t just a risk management exercise – it’s potentially a significant competitive advantage.
What are the main data risks we’re dealing with?
Missteps in data protection can result in serious consequences – beyond a warning or fine from the Information Commissioner’s Office (ICO) – that can affect every area of your operations, financial health and stakeholder relationships.
Financial
On top of the punishing fines handed down by the ICO (up to £17.5m or 4% of global turnover), there are also legal costs to consider, plus potential compensation claims from affected individuals and the time and resources spent on remedial action.
Operational
A data breach or mishandled Subject Access Request (SAR) can quickly create a spiralling task list of additional work, pulling key employees away from their core duties, and diverting leadership from strategy to firefighting.
Commercial
When you don't have a firm grip on your data, you lose control over your most valuable asset. This can lead to data being misused by employees, mishandled by third-party processors, or lost entirely through a ransomware attack.
Reputational
A public data breach erodes customer trust, damages your brand, and can deter potential partners and investors. Although it’s much harder to quantify this in pounds and pence, it’s often the most lasting and costly impact.
How can we take proactive control of our data?
Embedding data protection into the fabric of your business isn’t a one-off project – it’s a continuous cycle of improvement. A mature data protection strategy involves two distinct modes of operation: governance and incident response. Getting the governance element right reduces the number of data protection incidents that occur, and having a response plan in place can massively reduce the severity of any breach that slips through the net. The key areas to focus on include:
- Data mapping (RoPA): You can't protect what you don't know you have. Maintaining a clear 'Record of Processing Activities' is a legal requirement and a strategic tool. It tells you what data you hold, where it is, why you have it, and who it's shared with.
- Policies and procedures: Clear policies on data retention, remote working, and acceptable use, supported by practical staff training, turn legal principles into everyday actions. Make sure your internal rulebook includes clear reporting and escalation paths in the event of a breach or incident.
- Vendor management: Your data risk extends to your entire supply chain. Rigorous due diligence and strong contractual agreements with your data processors are non-negotiable – and these should be reviewed regularly to ensure that they’re informing practice, not sitting on a shelf.
- Data protection by design: This means integrating data protection into new projects from the ground up, rather than trying to bolt it on at the end. Planning ahead to address data risks at the initiation stage saves time, reduces costs, and leads to better, more secure outcomes.
What do we do in a GDPR crisis?
Unfortunately, even the most proactive approach to data handling can’t protect you from 100% of risks. But if a crisis does arise, having a pre-prepared response plan ready to execute makes a huge difference to the amount of disruption to your business and the eventual outcome.
The goal is to contain the incident, assess the risk, meet your legal obligations, and protect your legal position – all at once. But if you don’t have in-house data protection and legal expertise, scrambling at short notice to get the right advice adds unnecessary delay in a crisis.
That’s where Complex 360 makes a difference. We provide on-demand access to all areas of commercial legal expertise – including specialists in data protection and UK GDPR – at a fraction of the cost of maintaining an in-house team. Learn more about our Data Breach and GDPR services or speak to one of our solicitors to discuss how we can support your business.
Frequently asked questions
Do we really need a Data Protection Officer (DPO)?
It depends on your business. Appointing a dedicated DPO is generally applicable only to businesses or organisations whose core activities involve large-scale, regular, and systematic monitoring of individuals or the processing of sensitive data. But all businesses that handle data are required to have a named person or team responsible for data protection. If you’re not sure of the best structure, Complex Law can assist you.
What is the difference between a 'data controller' and a 'data processor'?
The data controller is the organisation that decides how data is processed, and for what reasons. A data processor is an organisation that is directed to process data on behalf of the data controller. Let’s say you run a subscription service. You’re the data controller of the customer data you collect. The email marketing platform you use to send a monthly newsletter is a data processor – you give them access to certain data you control (names and email addresses) and authorise them to process it in a specific, limited way (sending emails).
We've received a Subject Access Request (SAR) that seems deliberately disruptive. What can we do?
The one-month deadline to respond to an SAR is strict, but the law does allow flexibility in some cases – for example, extra time to seek clarification if a request is unclear, or even to refuse a response if the request is unfounded or excessive. However, you must be able to clearly demonstrate your reasoning – the threshold for these allowances is also strict. If you find yourself in this position, seek legal advice promptly before responding.
How does Brexit affect international data transfers?
Since 2021, the UK has had its own data protection regime (UK GDPR). Agreements with the EU allow personal data to be transferred from the EU to the UK without additional restrictions. But, it’s important to note that if you transfer this data onwards (for example, transferring your EU customers’ data to a US-based service provider), you may need to put specific mechanisms in place to ensure the data remains adequately protected. Complex Law can advise you on the appropriate approach based on the data being transferred, the purpose, and the jurisdictions involved.
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