Smart data is a £27.8bn opportunity for the UK
The launch of the Smart Data Group marks a pivotal moment in unlocking the UK’s data-driven growth, turning trusted data-sharing into a £27.8bn engine for innovation, competition, and empowered consumers, says Paul Scully
The UK’s competitive edge depends on its ability to innovate. Just last week, at London Tech week, Nvidia CEO Jensen Huang described the UK as being in a ‘Goldilocks’ position to harness technology and AI for growth, citing the country’s deep expertise, supportive regulatory environment, and strong academic foundations.
This week, as we launch the Smart Data Group in Parliament, we seize this pivotal moment to cement the UK’s global leadership. Forget abstract concepts: smart data is the practical key to unlocking an estimated £27.8bn for our economy, creating new markets and putting power back into the hands of consumers and businesses. It is pivotal to the governments’ ambition to accelerate digital innovation to enhance productivity and deliver economic growth.
What is it? Smart data is the secure, standardised sharing of your information with your explicit consent. It’s the digital lifeblood for better services, sharper competition and genuine choice. Imagine effortless energy and phone bill management, automatic switching when better deals arise or tailored financial products. This isn’t futuristic fantasy, it’s the tangible outcome of getting smart data right.
During my time as the minister for smart data, we developed our understanding of the opportunity and realised the urgency. The Data (Use and Access) Bill, which passed through Parliament last week, now provides the framework, empowering regulators to mandate data-sharing across energy, finance, telecoms, and retail.
The engine room of smart data
But legislation alone builds nothing. That’s where the Smart Data Group comes in. It is the engine room, uniting industry giants, regulators, and policymakers (including cross-party heavyweights like Jonathan Ashworth, Lord Iain McNicol, Lord Martin Callanan, and Sir Robbie Gibb on our Advisory Board) to deliver these schemes.
Open banking proved the model works. Now, we scale it. The Smart Data Group, led operationally by Richard Newman and Clare Ambrosino (veterans of the open banking revolution), gives industry the platform to co-design these schemes, shape standards, navigate regulation and build on existing infrastructure. Through expert working groups, strategic counsel and tech partnerships, Smart Data Group will cut through complexity. Members will have access to collaboration channels, and the opportunity to build cost-effective, customer-centric solutions within a thriving cross-sector ecosystem. They will directly benefit from the lessons learned both in the UK and internationally.
But let’s be clear-eyed: trust isn’t optional; it’s foundational. Without it, consent vanishes and the system collapses. That’s why our approach is relentlessly pragmatic and risk-based:
- Public good first: It must deliver tangible value for citizens and the economy.
- Security by design: Safety and security are not add-ons; they’re baked in from day one.
- Commercial reality: Schemes must be commercially viable, driving productivity and growth for business and importantly a return to data holders.
- Customer control: The individual is sovereign over their data. Always.
Government can mandate participation, but true success lies in collaboration. The Smart Data Group is where public intent meets private sector ingenuity. It will support government and regulatory initiatives and help deliver industry-led commercial data-sharing schemes. It will leverage government-held data, embrace enablers like digital ID, and build step-by-step – use case by use case – towards an open, interoperable data economy. This amplifies, not duplicates, vital work by the Smart Data Council, Open Banking, DBT, Ofgem, and National Energy System Operation.
The prize? A UK leading the world in data-driven value, innovation, and trust. A more dynamic economy. Empowered consumers. Businesses thriving through new services and efficiencies. The launch of the Smart Data Group this week isn’t just an event; it’s the starting gun. The expertise is assembled. The framework is emerging. The opportunity is undeniable. It’s time for industry, regulators and government to break down the barriers together. Let’s build the smart data economy Britain needs – and deserves. The future is waiting. Let’s seize it.
By Paul Scully is chair of the Smart Data Group advisory board and former minister for smart data