The federal government is poised to invest $288.1 million in its Digital ID program over the next four years. This aims to improve its coverage across the country.The funding represents a significant increase compared to the $24.7 million appropriated in the previous budget.
This development follows closely on the heels of a recent data breach which exposed the sign-ups and personal information of more than one million ClubNSW guests.
Finance Minister Katie Gallagher stressed the importance of reducing the risks of identity theft as a result of such breaches. He highlighted the benefits of using secure digital IDs in reducing over-disclosure of personal information and spreading ID data images.
Part of the $23.4 million funding over two years will be used to test verifiable government digital wallets and certificates in partnership with the Australian Taxation Office (ATO) and Treasury Australia.
The ATO is set to receive the largest share of digital ID funding, totaling $155.6 million over two years. This investment aims to enhance the existing myGovID credentials, which has 12 million users. It is to strengthen the portability of Relationship Authorization Manager (RAM) services for government applications.
Services Australia will be allocated $46 million over two years to maintain and facilitate an identity exchange that facilitates transactions across the digital ID system, in addition to legal services.
The money will receive $35.2 million over two years to maintain the program and $11 million over four years to the Attorney General’s Office to strengthen the credential security record.
An additional $7.8 million over two years will go to the Treasury to help set data standards under the upcoming digital ID law.
In addition, the Australian Information Commissioner’s Office will receive $5.6 million to monitor privacy related to digital ID legislation.The government passed its Digital ID Bill 2023 in Parliament earlier this year after investing about $750 million in digital identity systems.
Responding to calls for digital identity to be voluntary, the government intends to expand its scope to reduce risks associated with third-party processing of personal information Act includes a two-year transition period for businesses to participate in the digital ID program and integrating certificates.
Gallagher reaffirmed the government’s commitment to facilitating, securing and improving online access for Australians by investing in a national digital ID system.
