Table of Contents
In Short
- PCI DSS enhances payment security but does not ensure compliance with UK GDPR data security requirements.
- The UK GDPR requires businesses to protect all personal data, not just payment information.
- Businesses must not assume that PCI DSS automatically meets UK GDPR security standards; both frameworks must be addressed separately.
Tips for Businesses
Ensure your business complies with both PCI DSS and UK GDPR requirements. While PCI DSS helps secure payment card data, UK GDPR mandates broader protection for all personal data you handle. Regularly review your data security measures and seek legal advice to ensure full compliance with both frameworks.
The Payment Card Industry Data Security Standard (PCI DSS) establishes key security standards for businesses handling card information. If your business processes personal and payment data, you might assume that your PCI DSS compliance is enough to meet your data security obligations under UK GDPR. However, this assumption is incorrect. PCI DSS focuses on securing payment card data, but the UK GDPR is a mandatory law that applies to all personal data your business collects, stores, and processes. While PCI DSS can help strengthen payment security, it does not make your business compliant with the UK GDPR and its data security requirements.
The two frameworks serve different purposes, with the UK GDPR establishing broad and more comprehensive rules for processing personal data. This article explores data security obligations under the UK GDPR, the role of PCI DSS, and the steps your business must take to reduce data security compliance risks.
What is the UK GDPR and Why Does it Matter?
The UK GDPR is a key UK law that governs how your business may process personal data. You must comply if your business collects or processes personal information, such as customer names, contact details, payment information, or employee records.
As a data controller, you must follow a range of rules, such as ensuring that you have a lawful basis for processing personal data, limiting the data you collect, and providing transparency about how you use personal information. You must also allow individuals to exercise their rights over their data, such as accessing a copy of their personal data.
Failing to meet these obligations can lead to enforcement action from the ICO, including fines of up to £17.5 million or 4% of annual global turnover, whichever is higher. In addition to financial penalties, data breaches can seriously damage trust in your business. Clients and business partners expect businesses to handle their information securely. If they perceive weak data protection practices or violations of UK GDPR, they may be uncomfortable working with you and take their business elsewhere.
Why is Data Security Important?
Data security is a fundamental requirement under the UK GDPR. Under this principle, you must proactively protect personal data from loss, unauthorised access, or misuse.
If your business handles sensitive financial data, you should adopt strong security measures, which may be stronger than those needed for basic contact details. This is particularly the case when handling payment card information or bank details. Embedding security measures from the outset can help you strengthen your compliance – this concept is known as data protection by design and default.
Continue reading this article below the formWhat Does PCI DSS Do?
The PCI DSS is a globally recognised security framework developed by the Payment Card Industry Security Standards Council. It aims to reduce the risk of payment card fraud by enforcing strict security measures for businesses that store, process, or transmit cardholder data.
For retailers or any businesses handling card transactions, PCI DSS can help enhance security controls, reduce exposure to fraud, and prevent data breaches. Adopting PCI DSS and implementing its security measures can strengthen overall data protection by ensuring sensitive payment details are appropriately secured. Further information on PCI DSS requirements is available through the Payment Card Industry Security Standards Council.
Can PCI DSS Help Support UK GDPR Requirements?
Although PCI DSS enhances payment security, it does not equate to compliance with the UK GDPR and its principles on data security. If your business relies solely on the PCI DSS, you risk non-compliance with the UK GDPR.
The ICO stated that PCI DSS compliance is “not necessarily equivalent to compliance with the UK GDPR’s data security principle.” This is vital for businesses to understand so that they do not neglect their data security compliance obligations. However, the regulator has stated that if you process payment card data and suffer a personal data breach, it will assess whether PCI DSS measures were properly implemented.
Businesses should not mistakenly assume that PCI DSS (or another industry security framework, e.g., ISO 27001) automatically satisfies the UK GDPR’s security requirements. PCI DSS can form part of a strong security framework, but the UK GDPR requires a broad approach to data security that protects all personal data, not just payment information.
This factsheet outlines the steps for notifying the ICO and affected individuals about personal data breaches.
However (although PCI DSS and UK GDPR are separate frameworks), implementing PCI DSS can help strengthen data security practices and support compliance efforts. By following PCI DSS requirements, you can reduce the risk of payment-related breaches, which could compromise individual data. A well-implemented PCI DSS framework enables you to detect and respond to security threats more effectively when it comes to payment card data.
Strengthening security controls, limiting access to sensitive data, and encrypting payment details improve your overall security posture and minimise financial and reputational risks. However, you should not neglect your wider UK GDPR compliance and remember to take steps to safeguard all personal data in your business processes. If you need guidance on your business’s steps to achieve compliance, you can seek support from a data protection solicitor.
Key Takeaways
The PCI DSS is a well-known standard that can help enhance security for businesses processing payment card data. However, the UK GDPR sets out stringent requirements around data security. If you are a business processing personal data and complying with PCI DSS, you must not assume that PCI DSS automatically meets UK GDPR’s data security requirements. PCI DSS can help you strengthen payment security, but UK GDPR applies to all personal data you process. Therefore, businesses that follow PCI DSS and process personal data must not neglect their UK GDPR obligations. You should seek legal advice if you need to support understanding your UK GDPR data security obligations.
If your business requires advice on the UK GDPR and how to comply with its security principles, our experienced data, privacy, and IT lawyers can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to solicitors who can answer your questions and draft and review your documents. Call us today on 0808 196 8584 or visit our membership page.
Frequently Asked Questions
Securing personal data is a legal requirement under the UK GDPR. Strong security measures help you maintain trust and protect your business from financial and reputational harm which could arise if you suffer from a personal data breach.
No. PCI DSS protects payment card data but does not cover all security obligations under UK GDPR. UK GDPR requires you to safeguard all personal data, not just cardholder information.
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