Labour's latest ID card plan brings uncertainty for firms planning to use the cards to fight fraud
Biometric identity (ID) cards moved a step closer last week, but organisations interested in using the technology still face some uncertainty, as new legislation means the cards will remain voluntary for longer than first planned.
Under the latest compromise, passport applicants will be able to opt out of having an ID card until 2010, instead of 2008. The government agreed to the later date after months of political wrangling with the House of Lords.
The deal means the cards will not be compulsory until after the next election, when a Tory spokesman said his party will make the scheme entirely voluntary if it wins.
Home secretary Charles Clarke reportedly admitted that the compromise position introduced “a little bit of uncertainty to the government’s plans for implementing the scheme”. But a Home Office spokeswoman suggested there was nothing to discourage businesses from investigating use of the cards, as the government believes most people will choose to have them.
Corporate backing could encourage people to sign up to the voluntary scheme, according to Mike Davis of analyst Butler Group. “If banks start asking for the cards as a means of identity authentication then they become compulsory by default,” he added.
Jeremy Beale of the CBI said the agreement delivers greater clarity for firms planning to use the technology. But he argued that some companies would still be concerned by the lack of compulsion. “Firms still won’t be able to only use cards for authentication until they become compulsory, which means they won’t get all the cost savings the cards can deliver [and] they will only gain benefits in relation to some of their customers,” Beale said.
Meanwhile, professor Ian Angell of the London School of Economics, a staunch critic of the government’s proposals, cast doubts on its ability to have the systems installed by 2010. “The idea that a system of this complexity will be ready in under four years is pie in the sky,” he said. “How can organisations plan for a system that won’t be ready and may or may not work?”
Biometric identity (ID) cards moved a step closer last week, but organisations interested in using the technology still face some uncertainty, as new legislation means the cards will remain voluntary for longer than first planned.
Under the latest compromise, passport applicants will be able to opt out of having an ID card until 2010, instead of 2008. The government agreed to the later date after months of political wrangling with the House of Lords.
The deal means the cards will not be compulsory until after the next election, when a Tory spokesman said his party will make the scheme entirely voluntary if it wins.
Home secretary Charles Clarke reportedly admitted that the compromise position introduced “a little bit of uncertainty to the government’s plans for implementing the scheme”. But a Home Office spokeswoman suggested there was nothing to discourage businesses from investigating use of the cards, as the government believes most people will choose to have them.
Corporate backing could encourage people to sign up to the voluntary scheme, according to Mike Davis of analyst Butler Group. “If banks start asking for the cards as a means of identity authentication then they become compulsory by default,” he added.
Jeremy Beale of the CBI said the agreement delivers greater clarity for firms planning to use the technology. But he argued that some companies would still be concerned by the lack of compulsion. “Firms still won’t be able to only use cards for authentication until they become compulsory, which means they won’t get all the cost savings the cards can deliver [and] they will only gain benefits in relation to some of their customers,” Beale said.
Meanwhile, professor Ian Angell of the London School of Economics, a staunch critic of the government’s proposals, cast doubts on its ability to have the systems installed by 2010. “The idea that a system of this complexity will be ready in under four years is pie in the sky,” he said. “How can organisations plan for a system that won’t be ready and may or may not work?”
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