{"id":177957,"date":"2022-11-01T20:26:48","date_gmt":"2022-11-01T20:26:48","guid":{"rendered":"https:\/\/legalvision.co.uk\/?p=177957"},"modified":"2022-11-01T22:09:27","modified_gmt":"2022-11-01T22:09:27","slug":"pseudonymised-data-errors","status":"publish","type":"post","link":"https:\/\/legalvision.co.uk\/data-privacy-it\/pseudonymised-data-errors\/","title":{"rendered":"My Business in England Uses Pseudonymised Data. What Legal Mistakes Should I Avoid?"},"content":{"rendered":"\n<p>As a business owner handling personal data, you must avoid these errors when using pseudonymised data. Some data relate to individuals, customers and clients, while others are confidential and commercial. While most information exists to provide maximum detail, some forms of data aim for the opposite. This article will explore why some companies in England utilise pseudonymised information and the potential legal implications that come with its use. This should enable your business to weigh up the usefulness of pseudonymised data.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What is Pseudonymised Information?<\/h2>\n\n\n\n<p>Pseudonymised data is a form of amended information. The main aim of pseudonymisation is to protect the identities of individuals. So, for example, you could amend a list of daily customers to read \u2018purchaser 1\u2019 rather than naming the identifiable natural person. This would mask their identity and make the information more anonymous.<\/p>\n\n\n\n<p>This sounds relatively straightforward as, in reality, it is a process within which you substitute identifiable personal information of any data subject for neutral terms. Let us explore a couple of the most significant errors businesses in England make.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">1. Equating Pseudonymised Data and Anonymous Data<\/h2>\n\n\n\n<p>As you are likely aware, the General Data Protection Regulation (UK GDPR) sets data protection rules for businesses in England.<\/p>\n\n\n\n<p>There are two main types of data under the GDPR, which are:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>personal data &#8211; this covers information that can help identify an individual (for example, their name, address, telephone number or date of birth); and<\/li><li><a href=\"https:\/\/legalvision.co.uk\/data-privacy-it\/difference-anonymised-pseudonymised-data\/\">anonymised data<\/a> &#8211; this is anonymised information that contains no data that can be traced back to any individual.<\/li><\/ul>\n\n\n\n<p>At first glance, many businesses in England believe pseudonymised data constitutes anonymous data. This is because the identifiable information is removed and replaced with a more neutral label.<\/p>\n\n\n\n<p>However, the <a href=\"https:\/\/ico.org.uk\/\">Information Commissioner\u2019s Office<\/a> (ICO) advises that pseudonymised data is information that has had data removed but is <em>not<\/em> truly anonymous. In essence, it is akin to semi-anonymous information.<\/p>\n\n\n\n<p>Let us consider how pseudonymised information is semi-anonymous. We will consider an example below.<\/p>\n\n\n\n\n<a href=\"#content-next\"\n   class=\"block p-4 mt-10 text-xl font-bold text-center text-white no-underline bg-gray-800 rounded-t-xl\">\n    Continue reading this article below the form\n    <i class=\"text-xl fa-regular fa-arrow-down\"><\/i>\n<\/a>\n<div class=\"px-6 pt-10 pb-12 mb-10 text-center bg-gray-100 rounded-b-xl sm:px-12 test\">\n    <div class=\"mb-8 text-2xl font-bold text-orange\">\n        Need legal advice?\n        <br>\n        <span class=\"text-lg not-prose\">\n                            Call <a href=\"tel:+448081968584\" class=\"not-prose\">0808 196 8584<\/a> for urgent assistance.\n                <br>\n                Otherwise, complete this form, and we will contact you within one business day.\n                    <\/span>\n    <\/div>\n\n    \n\n<div class=\"not-prose flex justify-center text-left gform_input_bg_white    \">\n    <script>\nvar 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At the end of a business day, you have four orders by individuals for power tools. Your pseudonymised data spreadsheet records them as follows:<\/p>\n\n\n\n<ol class=\"wp-block-list\"><li>Purchaser 1<\/li><li>Purchaser 2<\/li><li>Purchaser 3; and<\/li><li>Purchaser 4.<\/li><\/ol>\n\n\n\n<p>But in a different tab of the same spreadsheet, you have a list of delivery addresses for those individuals. Because you have listed the individuals in chronological order throughout the day, your business has possession of the time entries for their home addresses and card data within the same spreadsheet. So, if needed, you could reverse engineer their personal identifiers from additional data in your possession.&nbsp;&nbsp;<\/p>\n\n\n\n<p>Any information your organisation can reverse-engineer is not truly anonymous and will, instead, be called <a href=\"https:\/\/legalvision.co.uk\/data-privacy-it\/handle-pseudonymised-data\/\">pseudonymised data<\/a>.<\/p>\n\n\n\n<p>What would be truly anonymous?\u00a0One step would be to assign random titles for the purchasers which are not in chronological order, such as \u2018t829\u2019, \u2018g232\u2019, y652\u2019 and \u2018u892\u2019.\u00a0 Another step would be to ensure the spreadsheet only contains an anonymous data tab and no further information.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">2. Underestimating ICO Regarding Pseudonymised Information<\/h2>\n\n\n\n<p>Some business owners make the mistake mentioned above of labelling pseudonymised information as \u2018anonymous data\u2019. In this way, they believe that the GDPR rules on processing personal data do not apply to that information because they mistakenly believe that pseudonymised data does not constitute personal data.<\/p>\n\n\n\n<p>Unfortunately, because you can reverse-engineer it, it does constitute personal data. Thus, handling information outside the principles of the <a href=\"https:\/\/legalvision.co.uk\/data-privacy-it\/information-gdpr-process\/\">GDPR<\/a> could lead to fines of up to \u00a317.5 million.<\/p>\n\n\n\n<div  class=\"box box--icon box--info\">\n    <p>Many businesses learn this the hard way by believing the information to be truly anonymous and then suffering a formal investigation by the <a href=\"https:\/\/ico.org.uk\/\">ICO<\/a>. Where the ICO believes a company has breached data protection law, it is likely to strongly consider a hefty financial penalty.<\/p>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\">Key Takeaways<\/h2>\n\n\n\n<p>The easiest way to ensure information is pseudonymised is to keep it away from data that could reverse engineer the relevant people&#8217;s identities. Overall, using pseudonymised information is a good idea in some situations (such as employee surveys), as removing personal information from documents is welcomed by the <a href=\"https:\/\/ico.org.uk\/\">ICO<\/a>. However, the primary way businesses in England get into hot water is when they mistakenly label the data as \u2018anonymous\u2019 for the purposes of the GDPR when it is not.<\/p>\n\n\n\n<p>Because of this, many business owners consult expert lawyers when they need clarification as to whether information constitutes pseudonymised data or truly anonymous information.<\/p>\n\n\n\n<p>If you need help handling pseudonymised data correctly, our experienced <a href=\"https:\/\/legalvision.co.uk\/it-lawyers-lp\/\">Data, Privacy and IT lawyers<\/a> can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on <a href=\"tel:+448081968584\" class=\"AVANSERnumber dynamic-number\">0808 196 8584<\/a> or visit our <a href=\"https:\/\/legalvision.co.uk\/membership\/\">membership page<\/a>.&nbsp;&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Frequently Asked Questions<\/h2>\n\n\n\n<div class=\"schema-faq wp-block-yoast-faq-block\"><div class=\"schema-faq-section\" id=\"faq-question-1667340529665\"><strong class=\"schema-faq-question\"><strong>Why does the GDPR not apply to \u2018truly anonymous\u2019 data?<\/strong><\/strong> <p class=\"schema-faq-answer\">Because the GDPR and <a href=\"https:\/\/ico.org.uk\/\">ICO<\/a> believe that a business cannot breach the data protection rights of an individual it cannot identify. So, for example, if a cyber attack resulted in hackers obtaining a document solely listing random identifiers for individuals with no personal data, it could not cause serious harm.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1667340538620\"><strong class=\"schema-faq-question\"><strong>Why do businesses use pseudonymised data?\u00a0<\/strong><\/strong> <p class=\"schema-faq-answer\">Some common examples of pseudonymised information include job recruitment exercises and customer purchase data. For example, your business may wish to examine trends in the purchase of certain items in specific months of the year and, to do so, needs purchase numbers rather than personal identities.<\/p> <\/div> <\/div>\n","protected":false},"excerpt":{"rendered":"<p>As a business owner handling personal data, you must avoid these errors when using pseudonymised data. Some data relate to individuals, customers and clients, while others are confidential and commercial. While most information exists to provide maximum detail, some forms of data aim for the opposite. This article will explore why some companies in England<a href=\"https:\/\/legalvision.co.uk\/data-privacy-it\/pseudonymised-data-errors\/\">Continue reading <span class=\"sr-only\">&#8220;My Business in England Uses Pseudonymised Data. What Legal Mistakes Should I Avoid?&#8221;<\/span><\/a><\/p>\n","protected":false},"author":13349,"featured_media":3172,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"1760,173455,1836,2817,176096,171819","_relevanssi_noindex_reason":"","editor_notices":[],"footnotes":""},"categories":[27],"tags":[20,21,365,746],"class_list":["post-177957","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-data-privacy-it","tag-small-business","tag-medium-business","tag-gdpr","tag-ico"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.1.1 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Legal Errors Handling Pseudonymised Data | LegalVision UK<\/title>\n<meta name=\"description\" content=\"This article will explore the two most common mistakes businesses in England make when handling pseudonymised data.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/legalvision.co.uk\/data-privacy-it\/pseudonymised-data-errors\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Legal Errors Handling Pseudonymised Data | LegalVision UK\" \/>\n<meta property=\"og:description\" content=\"This article will explore the two most common mistakes businesses in England make when handling pseudonymised data.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/legalvision.co.uk\/data-privacy-it\/pseudonymised-data-errors\/\" \/>\n<meta property=\"og:site_name\" content=\"LegalVision UK\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/LegalVision\" \/>\n<meta property=\"article:published_time\" content=\"2022-11-01T20:26:48+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2022-11-01T22:09:27+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/4\/2022\/05\/24121837\/business-image-0522113.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"880\" \/>\n\t<meta property=\"og:image:height\" content=\"586\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Thomas Sutherland\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@LegalVision_law\" \/>\n<meta name=\"twitter:site\" content=\"@LegalVision_law\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Thomas Sutherland\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/legalvision.co.uk\/data-privacy-it\/pseudonymised-data-errors\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/legalvision.co.uk\/data-privacy-it\/pseudonymised-data-errors\/\"},\"author\":{\"name\":\"Thomas Sutherland\",\"@id\":\"https:\/\/legalvision.co.uk\/#\/schema\/person\/46d22f7d1b4ba321fe5b1cdc648cc5d2\"},\"headline\":\"My Business in England Uses Pseudonymised Data. 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