UK Prime Minister Andy Burnham confirmed that the government will cancel the digital identity plan proposed by the previous administration. The new government stated that funds saved from scrapping the project will be used to cut taxes, helping to ease pressure on residents’ electricity bills and cost of living.
Nearly 3 million people have signed in opposition
The plan has sparked widespread backlash in British society. A parliamentary petition opposing digital IDs has garnered nearly 3 million signatures, becoming one of the second-largest public petitions in UK history.
Critics argue that once digital IDs are linked to more public services, they could evolve into broader identity tracking tools. Concerns surrounding privacy, surveillance, and the scope of data usage have become the focal point of controversy.
Three-year cost estimate: £1.8 billion
According to the earlier plan, the nationwide digital ID system was expected to cost £1.8 billion, approximately $2.4 billion, over three years. However, this budget figure was later questioned, with external parties pointing out that the funds had not been formally allocated.
The new government stated that the fiscal space freed up by canceling the project will be used to support tax reduction measures. Newly appointed Chancellor John Healey said the move aims to provide some relief for household expenses and ease pressure on residents before winter arrives.
Reviving controversy over the old proposal
This debate has also reminded the British public of the identity card scheme from the 2000s. The government led by then-Prime Minister Tony Blair had championed a similar initiative, but it was abolished after a change in power in 2011.
The canceled digital ID program was proposed by the government of former Prime Minister Keir Starmer. Starmer announced his resignation on June 22, and Burnham officially assumed the role of Prime Minister on Monday.
The outcome shows that the UK’s digital identity policy has once again retreated to square one amid tensions between privacy concerns and fiscal pressures. The new government’s decision to prioritize cost-of-living issues means that such highly controversial digital governance initiatives are unlikely to be restarted in the near term.