Time for the EU to step up on data security

European data privacy laws are arguably the most stringent in the world. That should be great news for companies that meet them when those companies come to offer their services around the world.

And that is why my company went through the complex process of applying for a Privacy Seal from EuroPriSe. We wanted to say that our product met a tougher standard and that an independent third party had verified that very fact.

But perhaps it’s time for the EU to go further, and promote the EuroPriSe seal, not just as the de facto European standard, but as a formal, global standard.

Using mobile telephony to improve security for multiple aspects of banking can offer consumers around the world huge gains in terms of improved security and customer service. But those consumers – as well as banks, retailers, mobile telephony companies, regulators and governments – need to feel absolutely confident about the protection of individuals’ privacy, if these exciting opportunities are going to be realised.

So should the EU set a date for making a EuroPriSe seal obligatory for all data security products being sold in the European market? That may sound like a step too far, but look at the success of the UCITS “brand” in asset management. UCITS were created as accepted passport for funds within the EU, but that initiative created a “gold standard” for investor protection that has won wide acceptance from investors outside Europe.

If there were a similar trend in data security products, the result could be a world-beating, European-based industry that demonstrably met customers’ needs, and also helped the world make a safe leap towards achieving the potential gains from the mobile telephony/banking overlap.

Worth a thought, surely.