Digital ID must not exclude vulnerable taxpayers
Plans to modernise public services through the introduction of a national digital identity system are a step in the right direction, but must not create new barriers for taxpayers, agents and digitally excluded individuals, says the Association of Taxation Technicians (ATT).
Responding to a Government consultation, "Making public services work for you with your digital identity", the ATT said that while a well-designed digital ID system could simplify access to HMRC and other public services, significant concerns remain around security, fraud, accessibility and the practical realities of how taxpayers interact with Government.
The ATT commented that digital ID systems must work effectively with professional tax agents, who manage tax affairs for millions of taxpayers, and non-digital alternatives must remain available and properly supported for people who cannot engage digitally.
The Association added that pilot schemes should be carried out and reviewed before any wider rollout, including testing involving vulnerable users and tax agents, as well as devolved nations and local government systems. The cost of implementation and likely uptake should be carefully assessed to ensure the system remains proportionate and sustainable.
The ATT also warned that a national digital ID system could become an attractive target for criminals if not properly designed and governed, adding robust safeguards are needed to protect against fraud, scams and identity theft.
Jon Stride, Chair of the ATT’s Technical Steering Group, said:
“A trusted digital identity system has the potential to simplify interactions with HMRC and other public services, reduce duplication and improve security. However, a system on this scale will only succeed if it works for everyone, including taxpayers who rely on professional agents and those who are digitally excluded.
“For many vulnerable individuals, digital exclusion is not temporary. It is essential that non-digital access routes remain genuinely available in practice, not just in theory.
“Security and trust will also be critical. A national digital ID system could become a highly attractive target for fraudsters, so strong safeguards, clear accountability and effective support for victims of identity theft and abuse must be built in from the outset.”
Notes for editors:
- ATT consultation response: Making public services work for you with your digital identity