Data Diets: Shedding Excess for a Leaner, Safer 2025

17 Feb

The digital landscape continues to evolve, with businesses increasingly reliant on data to operate effectively and initiate growth. However, as we head into 2025 and with the increasingly widespread use of AI and other tools to analyse data, it’s crucial to reassess how data (and particularly personal data) is managed. The concept of a “data diet” — trimming unnecessary data, improving security, and staying compliant with privacy laws — should be an integral part of business operations, creating efficiency, enhancing customer trust, and mitigating risks.

Why a Data Diet?

Data storage often seems unlimited and so streamlining data is sometimes not given any thought. However, keeping hold of old or unnecessary information can be expensive and risky. From a legal perspective, excessive or poorly managed data retention opens businesses to the risk of liability under the General Data Protection Regulation (GDPR), the UK GDPR, and other similar privacy laws, which could result in significant fines.

Having strong data retentions policies has an added benefit of leaner data systems, improving efficiency, and allowing businesses to respond faster to customer needs, all whilst reducing operational costs.

Key Steps for a Data Diet

1. Conduct a Data Audit:
Start with a comprehensive review of stored data. Categorise information based on relevance and necessity, and make sure personal data is clearly designated. Outdated or duplicated records should be securely deleted, freeing up resources and reducing exposure in case of a breach.

2. Update Privacy Policies and Contracts:
Ensure your agreements with employees, customers, and third-party providers are up-to-date. Provisions should clearly define personal data usage, ownership, and security obligations, reflecting current legal standards. This also includes having a data retention policy, for both internal management and training purposes, and also for external comms – as data subjects have a right to know how long you keep their data for.

3. Implement Stronger Cybersecurity Measures:
Cyber threats are becoming more sophisticated. Businesses should adopt:

This ensures security of the data you actually choose to retain.

4. Train Staff:
Human error remains a leading cause of data breaches. Regular training ensures employees understand their role in protecting the personal data that you hold, and making sure they aren’t retaining data that isn’t needed, leading to unnecessary risk.

The Role of Legal Support

Our team specialises in helping businesses navigate the complexities of data protection law. From conducting audits, to navigating the DPIA process and drafting robust data sharing and data processing agreements, we ensure your operations are compliant and secure. That gives you robust foundations, and the confidence, to focus on the commercial side of your business, and growth.

When our clients don’t get things right, we also advise on responding to data breaches, mitigating damage, and managing interactions with regulatory bodies like the ICO.

2025: A Year of Data Efficiency

By adopting a data diet, businesses not only protect themselves legally but also position themselves for growth, by allowing for greater operational efficiency and customer trust. This proactive approach will prepare you for the challenges and opportunities the digital landscape is likely to bring in 2025.

For professional advice on Data Protection and Privacy, contact Simon Weinberg, Head of Commercial & Technology and part of our Business Law team, for tailored support.