Government expected to increase data protection budget

The Government is expected to increase funding for the Office of the Data Protection Commissioner in tomorrow's budget, as it prepares to step-up investment in the body charged with regulating some of the world's largest internet companies.

While current spending on the Office of Data Protection Commissioner stands at approximately €1.7 million annually, there is an expectation that this could be increased by about two-thirds or more. An office is also expected to be opened in Dublin, to support the body’s headquarters in Portarlington, Co Laois.

Minister of State Dara Murphy, who was recently appointed as Minister for Data Protection, updated EU justice ministers on Ireland's position regarding data protection regulation in Luxembourg on Friday.

Too lenient

Because

Ireland

hosts the European headquarters of internet giants such as

Facebook

and

Google

, the Irish Data Protection Commissioner is responsible for data protection laws relating to those companies, a situation that irks a number of EU member states who believe Ireland’s data protection standards are too lenient.

Helen Dixon was appointed as Ireland's Data Protection Commissioner last month, succeeding Billy Hawkes who had held the role since 2005.

Speaking after the EU meeting of justice ministers, Mr Murphy said that Ireland was committed to the highest standards in data protection. “What companies have been telling me is that their own clients want to know that they are working in the best regulatory environment, in a country with a strong data regime. That is the case in Ireland. However, it is important to strike the right balance between the right to privacy and the right to freedom of expression, which is being discussed at an EU level.”

New EU-wide regulation on data protection, which was a key focus of the Irish presidency of the Council of the European Union last year, has been winding its way through the EU legislative process for more than two years, but has stalled amid disagreement over the balance between regulation and the right to freedom of expression.

Amend searches

Debate over data protection rights has intensified in

Europe

, and particularly

Germany

, since the revelation of the NSA spying scandal and the recent “right to be forgotten” case, in which the European Court of Justice ruled that Google should amend searches based on a person’s name in certain cases.

Irish MEP Seán Kelly, who has been centrally involved with the drafting of the EU legislation as a member of the European Parliament’s industry committee, said it was vital the new EU legislation had the trust of internet users.

“We have a situation where businesses, particularly businesses that are trying to innovate using the internet, are being adversely affected because users are wary of giving their information. If you want to grow businesses on the internet, you have to have the confidence of the data subjects. Twelve months ago people didn’t care, but now they feel that once something goes on the internet, there is no guarantee it will be protected, whatever the right to be forgotten law says.”