Smash hit

The Information Commissioner’s Office has gone even further today, however, demanding new powers to prosecute organisations that lose personal details and the ability to raid the premises of organisations suspected to have broken data laws.

Mr Thomas has been one of the most vocal critics of the latest error, labelling it a “shocking case” and suggesting that the law has been broken.

“I am at a loss to find out what happened in this situation. It is not just about the law. It is about retaining the trust and confidence of the population where so much information is entrusted to government,” he said.

He reacted to Mr Brown's announcemnet saying: “For some time I have been pressing the government to give my Office the power to audit and inspect organisations that process people’s personal information without first having to get their consent. Ultimately this will ensure better compliance with the law and protect people’s data. I welcome the Prime Minister’s announcement.

"It is also important that the law is changed to make security breaches of this magnitude a criminal offence. At the moment I can take limited enforcement action, but making this a criminal offence would serve as a strong deterrent.

“The onus is now on every organisation to take privacy far more seriously. Alarm bells must ring in every boardroom. Data protection safeguards must be technically robust and idiot proof.”

Mr Brown hopes that his plans to increase Mr Thomas's powers will assuage fears of further security breaches. “We will do everything in our power to make sure data is safe,” he said.

The Prime Minister also defended the beleaguered Mr Darling, insisting that he has done an excellent job.

The pressure on the Chancellor continued to grow today with the Northern Rock fiasco rumbling on and an economic downturn expected. George Osborne, the Shadow Chancellor, said: “People are starting to question whether Alistair Darling is up to the job.”

This morning Mr Darling conceded that he was worried by the repeated pattern of security failures at the Revenue but he denied that job cuts and a recent merger were responsible.

“Of course it shakes confidence. . . I was concerned, I am concerned, but this one dwarves the other two.”

An independent report recently gave a damning verdict on the performance of HMRC after it was formed from the merger of Customs and Excise and the Inland Revenue.

Explore UK News

• Crime News

• Education News

• Health News

• Scotland News

Times Recommends

• Please help: maimed children of war want their lives back
• Unlocking the cruellest prison
• Prince Charles named in £81m court battle