Consumer data right

The Ministry of Business, Innovation and Employment is seeking input on whether to develop a consumer data right in New Zealand to give individuals and businesses greater choice and control over their data.

Read the discussion document and make a submission

Submissions close at 10am on Monday 19 October 2020.

What is a consumer data right?

The term ‘consumer data right’ or CDR describes a mechanism for consumers to securely share data that is held about them with trusted third parties, on the consent of a consumer. The third party could be another product or service provider or a separate entity such as a fintech. The data would be shared in a machine-readable format so that it can be utilised by the third party for the consumer’s benefit.

A consumer data right could provide significant benefits for consumer welfare and economic development. It could give individuals and businesses access to a wider range of products and services, reduce search and switch costs, facilitate competition, encourage innovation, increase productivity and help build the digital economy. It could also strengthen existing privacy protections by giving consumers greater choice and control of their data.

The Ministry’s work in developing a consumer data right has followed international developments where some jurisdictions have attempted to intervene by engaging in legislative reform to promote consumer data portability or strengthen existing privacy rights.

There have been some sector-led initiatives in New Zealand to promote data portability, including in the banking sector. However, progress has been relatively slow and these initiatives do not appear to be delivering the full positive outcomes for consumers as yet.

Further information

Find out more about our work on retail payment systems and open banking in New Zealand.

If you have any questions please contact

Last updated: 05 August 2020