UK Government Suffers Third Successive Defeat on Data (Use and Access) Bill

The 287-118 vote marked the third time the upper house has acted to insert the Kidron amendment into the bill. The first came at the report stage, the second after the government got it stripped from the bill in the House of Commons in the first round of “ping-pong,” and now after the measure was again stripped out by MPs. The margin in favor of the amendment in the upper chamber has increased each time.

Although the government has launched a public consultation specifically on AI and copyright, and promised to address data transparency in separate legislation later this year or next, opposition to the Data Bill has only grown over time. As currently written, the bill would permit AI companies to use copyrighted works to train their models without seeking permission from the rights owners, while providing rights owners the choice of opting out of allowing their works to be used. The measure has received strong support from U.S. technology companies, as well as the Trump administration. But their support now appears to be galvanizing opposition.

“The Government have got it wrong. They have been turned by the sweet whisperings of Silicon Valley, who have stolen – and continue to steal every day we take no action – the UK’s extraordinary, beautiful and valuable creative output,” Baroness Kidron said after Monday’s vote, per the BBC. “Silicon Valley has persuaded the government that it’s easier for them to redefine theft than make them pay for what they have stolen.”

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Read more: U.K. Data Bill Still Facing Opposition Ahead of Final Vote

The Data Bill is intended as a centerpiece of the Starmer government’s strategy to boost Great Britain’s prospects in the race to develop AI technology. Among other things, the bill proposes reforms to streamline data use for businesses by reducing what the government sees as unnecessary “box-ticking” for companies and organizations. Those include provisions to remove or simplify certain record-keeping and impact assessment requirements for low-risk data processing.

It also includes creating a new “trust framework” for digital identify verification, making it simpler and faster for banks, legal services, e-commerce companies and other institutions that rely on verifying customers’ identity. The bill would also create a new Information Commission to replace the current Information Commissioner’s Office with a more modern and streamlined structure with clearer strategic objectives.

The government regards the copyright issue as a potential can of worms that could bog down passage of those reforms and has pleaded with Parliament to address the data transparency issue separately.

 “Alongside transparency, we must also consider licensing, the remuneration of rights holders, and the role of technical solutions and any other number of issues relating to copyright and AI. This is why we consulted on all of these topics,” technology minister Baroness Jones of Whitechurch said after Monday’s vote. “We must also keep in mind that any solution adopted by the UK must reflect the global nature of copyright, the creative sector and AI development. We cannot ring-fence the UK away from the rest of the world.

“This is a policy decision with many moving parts. Jumping the gun on one issue will hamstring us in reaching the best outcome on all the others.”

The bill now goes back to the House of Commons, where the government is again expected to try to strip out the Kidron amendment.