Saturday 17 November 2012

Identity assurance and midata – two new ideas for a grateful public to get used to

Mydex and the Post Office – the instant cartel,
just add money to taste

The UK was lucky enough last week to have seven "identity providers" (IDPs) appointed, one of which is the Post Office. One man who worked on the Post Office's bid is Toby Stevens. Writing about how he moved from being anti-ID cards to being pro-identity assurance (IDA) he says, among other things:
How I learned to stop worrying and love identity assurance
... The IDA programme differs from its predecessors in many ways, in that public bodies can't be Identity Providers (IDPs) - IDPs will be exclusively private sector ...
New idea #1 – the Post Office is not a public body.

How will IDA work in practice? That has yet to be decided. When he was interviewed by Ctrl-Shift, the consultancy company famous among DMossEsq readers, Mr Stevens was able to tell us this, though:
The significance of the Identity Assurance programme
Over the next 18 months the selected IDPs will collaborate to develop their service offerings and a delivery Scheme which can handle the branding and governance for IDA services. DWP will pay those IDPs to register and maintain identities on a 'per active user, per annum' basis ...
Ctrl-Shift conducted an interview with one of the other newly-appointed IDPs, Mydex – please see Identity assurance: Mydex's unique contribution. Given how close the two organisations are, Ctrl_Shift may as well have interviewed itself. What is Mydex's market offer? That's one of the tricky questions lobbed at Mydex during the interview, along with how do you see the market changing? The last line of the interview is:
This is [a] recipe for positive change and we are delighted to be part of the market solution.
New idea #2 – when the government (Cabinet Office + Department for Business Innovation and Skills) pays a consultancy (Ctrl-Shift) to produce reports recommending one of its policies (midata) which is designed by the chairman (William Heath) of the software house (Mydex) on which the policy depends and then pays them (Mydex) "on a 'per active user, per annum' basis", that is a market solution.

In the old days, before we were all born, yesterday, "markets" meant competition. In the new cartelised world, now, at no risk to consumers:
... the selected IDPs will collaborate to develop their service offerings ...

Identity assurance and midata – two new ideas for a grateful public to get used to

Mydex and the Post Office – the instant cartel,
just add money to taste

The UK was lucky enough last week to have seven "identity providers" (IDPs) appointed, one of which is the Post Office. One man who worked on the Post Office's bid is Toby Stevens. Writing about how he moved from being anti-ID cards to being pro-identity assurance (IDA) he says, among other things:
How I learned to stop worrying and love identity assurance
... The IDA programme differs from its predecessors in many ways, in that public bodies can't be Identity Providers (IDPs) - IDPs will be exclusively private sector ...
New idea #1 – the Post Office is not a public body.

Wednesday 14 November 2012

Every blogger's dream comment

The following anonymous comment was received by email, 14.11.12@11:35. Paragraph numbers have been added for ease of reference:
Anonymous has left a new comment on your post "Cloud computing, and GDS's fantasy strategy":

1. I've been following your blogs with interest, and whilst I agree with some of your points, particularly early on, you now seem to be ratcheting up the rhetoric a bit, without really doing any research on what you're talking about.

2. For example, regarding Larry Ellison, that quote was from 2008; in the last four years, he seems to have changed tack slightly:
http://dawn.com/2012/10/03/oracles-ellison-focused-on-cloud-not-deals/

3. Taking lawyers and the cloud, the following sites would tend to show that at least some firms are making use of cloud services, and they don't seem to have gone out of business:
http://www.lawcloud.co.uk/case-studies
http://www.inksters.com/lawinthecloud.aspx

4. You also miss the main point about "Utility Computing" - the benefits that organisations can realise from being able to pick and choose (on a month-by-month basis, if necessary) from a range of suppliers, is a big advantage compared to legacy, multi-year contracts.

5. Regarding gas/electricity prices in the UK, technically you are free to move supplier as and when you want, to gain better pricing or service, just as you do with utility computing. The fact that utility prices are increasing and appear "fixed" is more of a comment on the energy utility market, than the "utility" concept in general.

6. Compare this to "legacy computing", where you are tied into long-term contracts with horrendous break clauses.
http://www.theregister.co.uk/2010/10/12/...
http://www.theregister.co.uk/2010/03/31/it_waste_pac/
http://www.theregister.co.uk/2011/09/20/...
http://www.theregister.co.uk/2011/08/25/government_raytheon_court/

7. You mention about "somebody" having to pay for the overhead involved in cloud services... well, no. The whole point of the cloud is you pay for what you use - and if you don't like the price, you go somewhere else. Yes, the company has to make a profit, but then so does any supplier - unless you're suggesting that Govt in-sources its IT?

8. Regarding loss of control in the cloud, not really, no. As always within Govt IT, ultimately the risk assessment lies with the Department, not the procurement framework. So, when GDS chose to use Skyscape, they would have been responsible for managing the risk assessment for using that provider - and will be accountable if things go wrong. Ditto HMRC with their data.

9. Moving services to the cloud doesn't remove departments responsibility - if anything, it makes you think harder about it, whereas before, when the contract went to a major SI, the track was trying to outsource your risk as well - and then you get into the horrible contractual messes like those shown above.

10. And whilst I'm not going to defend Amazon (or the rest) on their tax record, in terms of investment into its services, Amazon is better than most - check out it's most recent quarter's results - it reinvests a lot of its profits in further developing its range of services.
https://www.google.co.uk/finance?...

11. Finally, I presume that you're comfortable using the cloud yourself, since you seem to be hosting your blog on Blogger, which is Google's SaaS blogging service. Why didn't you buy your own web server, install and configure it with Wordpress, and run it yourself from a UK datacentre? My guess is because Blogger is i) cheap, ii) easy, and iii) more secure than an individual's setup would ever be - and if you ever want to move it, there's no 5-year contract binding you, with lots of termination clauses or penalty payments.
DMossEsq looks forward to posting a reply, followed by further debate.

At 3,662 characters, the comment appears to be too long for Blogger to display. Which is all that needs to be said in answer to the 14.11.12@12:53 email:
Anonymous has left a new comment on your post "Cloud computing, and GDS's fantasy strategy":

Strange... pretty sure I posted a fairly detailed comment an hour or so ago, and now it's disappeared...?
Care to comment, DMossEsq?

Every blogger's dream comment

The following anonymous comment was received by email, 14.11.12@11:35. Paragraph numbers have been added for ease of reference:
Anonymous has left a new comment on your post "Cloud computing, and GDS's fantasy strategy":

1. I've been following your blogs with interest, and whilst I agree with some of your points, particularly early on, you now seem to be ratcheting up the rhetoric a bit, without really doing any research on what you're talking about.

2. For example, regarding Larry Ellison, that quote was from 2008; in the last four years, he seems to have changed tack slightly:
http://dawn.com/2012/10/03/oracles-ellison-focused-on-cloud-not-deals/

3. Taking lawyers and the cloud, the following sites would tend to show that at least some firms are making use of cloud services, and they don't seem to have gone out of business:
http://www.lawcloud.co.uk/case-studies
http://www.inksters.com/lawinthecloud.aspx

4. You also miss the main point about "Utility Computing" - the benefits that organisations can realise from being able to pick and choose (on a month-by-month basis, if necessary) from a range of suppliers, is a big advantage compared to legacy, multi-year contracts.

5. Regarding gas/electricity prices in the UK, technically you are free to move supplier as and when you want, to gain better pricing or service, just as you do with utility computing. The fact that utility prices are increasing and appear "fixed" is more of a comment on the energy utility market, than the "utility" concept in general.

6. Compare this to "legacy computing", where you are tied into long-term contracts with horrendous break clauses.
http://www.theregister.co.uk/2010/10/12/...
http://www.theregister.co.uk/2010/03/31/it_waste_pac/
http://www.theregister.co.uk/2011/09/20/...
http://www.theregister.co.uk/2011/08/25/government_raytheon_court/

7. You mention about "somebody" having to pay for the overhead involved in cloud services... well, no. The whole point of the cloud is you pay for what you use - and if you don't like the price, you go somewhere else. Yes, the company has to make a profit, but then so does any supplier - unless you're suggesting that Govt in-sources its IT?

8. Regarding loss of control in the cloud, not really, no. As always within Govt IT, ultimately the risk assessment lies with the Department, not the procurement framework. So, when GDS chose to use Skyscape, they would have been responsible for managing the risk assessment for using that provider - and will be accountable if things go wrong. Ditto HMRC with their data.

9. Moving services to the cloud doesn't remove departments responsibility - if anything, it makes you think harder about it, whereas before, when the contract went to a major SI, the track was trying to outsource your risk as well - and then you get into the horrible contractual messes like those shown above.

10. And whilst I'm not going to defend Amazon (or the rest) on their tax record, in terms of investment into its services, Amazon is better than most - check out it's most recent quarter's results - it reinvests a lot of its profits in further developing its range of services.
https://www.google.co.uk/finance?...

11. Finally, I presume that you're comfortable using the cloud yourself, since you seem to be hosting your blog on Blogger, which is Google's SaaS blogging service. Why didn't you buy your own web server, install and configure it with Wordpress, and run it yourself from a UK datacentre? My guess is because Blogger is i) cheap, ii) easy, and iii) more secure than an individual's setup would ever be - and if you ever want to move it, there's no 5-year contract binding you, with lots of termination clauses or penalty payments.
DMossEsq looks forward to posting a reply, followed by further debate.

At 3,662 characters, the comment appears to be too long for Blogger to display. Which is all that needs to be said in answer to the 14.11.12@12:53 email:
Anonymous has left a new comment on your post "Cloud computing, and GDS's fantasy strategy":

Strange... pretty sure I posted a fairly detailed comment an hour or so ago, and now it's disappeared...?
Care to comment, DMossEsq?

Pass the sickbag



C.f.

----------

2.1.13 – for some reason, the video on the link above has been marked private and can no longer be viewed by ordinary members of the public. Luckily, there's another copy here.

Pass the sickbag



C.f.

----------

2.1.13 – for some reason, the video on the link above has been marked private and can no longer be viewed by ordinary members of the public. Luckily, there's another copy here.

Tuesday 13 November 2012

Identity providers – the electronic Mary Poppinses

At last, everyone will have their own nanny ...
... with absolutely no interference from the state

To no fanfare at all, the Department for Work and Pensions (DWP) today named in a press release seven of the eight organisations selected to be the UK's first "identity providers".

The eighth organisation is presumably having second thoughts. As well they might.

The seven named winners are the Post Office, Cassidian, Digidentity, Experian, Ingeus, Mydex and Verizon.

This is all to do with identity assurance, without which nothing in the digital-by-default universe works.

Your identity will be provided henceforth by Digidentity (a Dutch PKI company – public key infrastructure), Ingeus (dedicated to getting the unemployed into work), Verizon (a US mobile phone network with no known presence in the UK), the Post Office, and/or three organisations you may dimly recall having heard of.

How did DWP come up with that list?

They didn't.

GDS are in charge, as they rarely fail to mention. It's GDS who will have made this peculiar selection, the Government Digital Service, they're six weeks late announcing it, we were supposed to know by 30 September 2012, and they're obviously still having trouble with No.8.

We were promised an "ecosystem" of private sector suppliers. The Post Office is not a private sector supplier. Cassidian and Experian earn a material portion of their income from UK government public sector contracts, and Mydex is funded to some extent by Department for Business Innovation and Skills (BIS) and Cabinet Office grants, while its chairman sits on the BIS strategy board for midata.

What should you expect?

An organisation whom you have barely heard of and/or who doesn't know you from Adam will seek to register you. They will enrol you onto a database, asking for all sorts of footling documentation to prove that you are who you say you are and asking a lot of impertinent questions, from which they will create your "personal data store" (PDS). Then, if you apply for Universal Credit (UC), DWP may pay it to you, but only if the identity provider's computers assure DWP's computers that you are you. You have the choice – sign up with one of these identity providers or go without UC.

And for the rest of us?

Mydex think this is a big day. A "global milestone" they call it in The DWP ID assurance decision and the new personal data ecosystem, where Mydex insist on repeating their claims that they can grant everyone total control over their personal data and that midata will save money, a claim which BIS cannot defend.

What Mydex foresee is a day when your personal data store, your PDS, will advise you ... what to watch on television and ... whether to go out to dinner and ... what job to apply for and ... what to wear on holiday. At last, everyone will have their own nanny. Don't be surprised if Nanny also advises you to take out a phone contract with Verizon. Or reminds you to vote in next week's municipal elections in the Hague (Digidentity are Dutch, remember).

Don't believe it?

Take a look at this BIS press release, A midata future: 10 ways it could shape your choices:
midata is about giving the public more control and access to their personal data. There are potentially endless possibilities.
This allows not just consumers, but all users, to unlock sources of information in order to make the best choices for themselves, individually and collectively.
People could benefit from a range of applications made possible by accessing and sharing digital data about themselves held by businesses
Here are 10 ways in which ‘midata’ could be used in future to help change how we manage our lives, carry out day to day tasks and make decisions.

1. Returns, receipts and repairs

Stack of receipts ©iStockphoto.com/ Kitty Ellis
midata could help you manage your returns and warranties. It could be used by companies to provide electronic receipts of purchases to customers, who can download and store them at home. Instead of losing receipts and forgetting when guarantees expire, customers can use a ‘contracts and warranties dashboard’ to keep track of their purchases.
Retailers would save money by getting rid of paper receipts, and call centre costs would reduce as customers have a lot more information. You could manage renewals, returns, repairs, enquiries and upgrades all through a database, and new services could be developed to automatically offer price comparisons when product renewal dates are coming up.

2. Getting a new job

Jobs advert
midata’ could allow individuals to have access to information held about them by various organisations. When getting a new job, an individual could use verification programmes to send necessary proofs to a new employer. For example, instead of making copies and going to the post office, a new employee could get their driving licence, educational qualifications, CRB check and personal identity all by ticking a set of boxes and clicking ‘send’.
This would save money for employers who won’t have to deal with lengthy and expensive hiring processes.

3. Finance

Calculator on financial newspaper ©iStockphoto/ Pali Rao
midata could help you manage your money in an easier and time efficient way. Service providers can develop and offer services which offer a full picture of accounts and information, instead of having to view and analyse spending from various different financial service providers. You could view your spending, analyse spend by chosen categories, compare offers and set budgets. This would create a foundation for a wide range of added-value money management, analysis and advice services.

4. Shopping

Shopping trolley filled with goods  © iStockphoto.com/ Don Bayley
midata could lead to services which combine your shopping history, and crunch this data into a range of services which improves your purchasing patterns. You could for example see how much money you’re spending on certain items, brands or companies, as well as any trends in your spending.
Take clothing: an individual could receive tailored fashion advice based on their style and purchases. How about your latest summer holiday outfit? A database could offer more specific price comparisons to show you how money could be saved based on the style and products you might usually go for, and send alerts for upcoming sales.

5. Keeping up with the Joneses

Man with paperwork
There are benefits in comparing with other people’s spending: midata could help those who want to change particular habits or make a purchase. For example, a couple may want to save money and energy, but are unsure if their current energy bills or usage are the norm. They are hearing varying opinions from friends and websites, but really want to know the energy consumption of people in a similar situation to them.
midata could use their energy consumption and supplier details, as well as the size of their home and family. It could then match their data to that of others in similar situations, and draw comparisons to show whether loft insulation or solar panels have benefitted others. Such programmes will be able to gain insights into customer priorities and offer trustworthy personalised advice in a way that has not been done before. 

6. Better billing

Electric bill © iStockphoto.com Nick M. Do
midata can help users sift through mobile phone tariffs and other utilities quickly and easily with the use of ‘specification building’. Instead of sifting through one tariff after another, users can build a specification of exactly what they want and publish it to the marketplace, leaving it to businesses to make offers that suit them. Alternatively they can filter existing products against their specifications, a process that can be automated.
Specification building will provide suppliers with a direct insight into exactly what customers are looking for and immediate contact with the right customer. This eliminates a huge amount of time and money from the marketing process. Such data has the potential to kick-start a major marketplace innovation, driven by customers openly telling suppliers “this is what I want, can you help me?” 

7. Health

Blue face paint, close-up portrait of young woman © iStockphoto.com/ BAYRAM TUNÇ
For individuals who need to take a closer look at their lifestyle, for health or personal reasons, midata can help them manage their medication and food intake. midata service providers could take details of medication timings and doses of diabetes sufferers for example. By using such programmes an individual could record their blood sugar levels, physical activity, food intake and day-to-day health issues.
That data could be presented to an individual’s doctor or dietician, who will be able to personalise their advice and prescriptions much better. An individual could see where their food intake patterns may be affecting them, and tackling any issues reduce the risks of complications and emergencies. 

8. Entertainment

people in a cinema © iStockphoto/ Denis Raev
midata could lead to service providers giving a much better range and value offer to entertainment customers. If you regularly purchase things like films, music, and theatre tickets you could use this data to be kept ‘in the know’ about the latest entertainment news.
‘midata’ programmes could use purchase info to provide a tailored service which tells customers when their favourite music artists are releasing an album or are on tour, for example, and lead them directly to the ticket providers. Individuals could expand their taste to try suggestions of films and theatre based on previous purchases, leading to an increase in sales of certain sectors.

9. Healthy eating

shopper reading label on food item ©iStockphoto/ Daniel Laflor
midata could help you take advantage of your grocery purchase data and help manage your diet. Service providers could develop tools which look at not only how shoppers could save money between retailers, but also what they tend to buy as comfort food.
Data could be amalgamated to show that a user tends to buy a lot of sweet foods or expensive brands around ‘pay day’, and provide a deeper insight into the added effect of ‘impulse buys’. This could go further to show where certain foods are increasing a user’s blood sugar or cholesterol, and indicate which alternatives could improve their health but satisfy their cravings. This could lead to a reduction in food-related health complications such as diabetes and obesity, and save money not only for the user but for national health services.

10. Going out

Couple drinking glasses of wine © iStockphoto.com/ g_studio
midata service providers could use an individuals purchase data to look at which restaurants and bars that user like. Taking this data, they could offer you a unique service, alerting you to new or recommended restaurants that suit your taste and location.
So where your favourite restaurant has deals or offers, you could be alerted in advance to take advantage and make a booking. Combined with other services, the programme could also indicate where you could save money or improve your health by eating elsewhere, drinking less or going out less.
----------

Updated 5 February 2014:

It was August 2012 when A midata future: 10 ways it could shape your choices was published. Here we are, 18 months later.

In between, the midata Innovation Lab was established and produced five sample prototype apps that were meant to demonstrate the value and attraction of midata.

One of those apps, MI Finances is meant to help you manage your ... finances:


In case you can't read the four nuggets of advice, they say:
  • Save £70 a month by buying your own ingredients and cooking yourself. Your health may improve too!
  • Do your grocery shopping online and save £14 per month on fuel
  • You're having an average of 4 takeaways a month. Why not make it a special treat? Cut down to once a month and save £100
  • You're not using your overdraft facility but you're using an expensive credit card. Save £45 a month in interest and cut up that card!
Nanny is on fine form.

Updated 11.10.14

One of the five prototype apps designed to demonstrate the virtues of midata is MI Relative Calm. It's a fine example of what happens when the "quantified self" that Ctrl-Shift and Mydex embrace meets a human being – the human being loses. That may be the answer to William Heath's scandalised question yesterday. Mr Heath is the chairman of Mydex:


It's nearly two years since the post above was published. It is still unclear how Mydex can grant control over the way your personal data is used. And it is still the case that the public has yet to see identity assurance in action. Trust in its existence is beginning to wane.



Identity providers – the electronic Mary Poppinses

At last, everyone will have their own nanny ...
... with absolutely no interference from the state

To no fanfare at all, the Department for Work and Pensions (DWP) today named in a press release seven of the eight organisations selected to be the UK's first "identity providers".

The eighth organisation is presumably having second thoughts. As well they might.

The seven named winners are the Post Office, Cassidian, Digidentity, Experian, Ingeus, Mydex and Verizon.

This is all to do with identity assurance, without which nothing in the digital-by-default universe works.

Your identity will be provided henceforth by Digidentity (a Dutch PKI company – public key infrastructure), Ingeus (dedicated to getting the unemployed into work), Verizon (a US mobile phone network with no known presence in the UK), the Post Office, and/or three organisations you may dimly recall having heard of.

How did DWP come up with that list?

They didn't.

Cloud computing, and GDS's fantasy strategy

For some time now, the Government Digital Service (GDS) have made the meaning of their digital-by-default agenda clear – they want the UK to be like Estonia.

It is thanks to the fact that practically every service in Estonia is delivered over the web that, back in 2007, Russia was able to bring the country to its knees in a matter of days. If GDS succeed with their "modernisation" plans, there will be nothing to stop that happening here in the UK.

GDS are in awe of the financial success and popularity of Apple, Amazon, eBay/PayPal, Google and Facebook. With no experience of government behind them, the over-promoted software engineers at the head of GDS want to bring their heroes' tricks to the delivery of public services in the UK.

Sensible people will see Facebook et al as latter-day Pied Pipers of Hamelin – sensible people, including the tens of thousands of public servants who will be laid off and replaced by GDS's computers when government is, as they say, "transformed".

Many of these organisations are famous for avoiding tax on their UK profits and for using their near-monopolies to tyrannise their suppliers and to milk their customers. But GDS somehow maintain their naïve veneration and on 6 November 2012 they published their Government Digital Strategy.

This fantasy strategy is an elaboration of Martha Lane Fox's ideas, set out in her October 2010 letter to Francis Maude, Directgov 2010 and beyond: revolution not evolution. Ms Lane Fox is the Prime Minister's digital champion, she's a historian, and when she says "revolution" she means it.

Her revolutionary fervour is carried over into last week's GDS strategy, which Sir Bob Kerslake – head of the home civil service, permanent secretary at the Department for Communities and Local Government (DCLG) and previously the chief executive of first the London Borough of Hounslow and then Sheffield City Council – has greeted with a post on GDS's blog, Welcoming the Digital Strategy:
Our reform plan also made a clear commitment to improve the quality of the government’s digital services, and to do this by publishing a Government Digital Strategy setting out how we would support the transformation of digital services [how does publishing a wishlist improve the quality of public services?].

We fulfilled that commitment yesterday with the launch of the Government Digital Strategy, Digital Efficiency Report and Digital Landscape Report and I very much welcome their publication.
But why? Why does Sir Bob "welcome" this emmental cheese of a strategy? It's full of holes. Consider cloud computing for example.

The Executive summary of the Government Digital Strategy tells us that:
Government is improving the way it provides information by moving to a single website, GOV.UK. Transactional services now present the biggest opportunity to save people time and save the government money [the writers mean "save the people money", the government doesn't have any money, only the people do].
GOV.UK is the implementation of Martha Lane Fox's dream, a single government domain, one website, on which all government information is to be published, and on which we will all communicate with the government via "transactional services".

Every central government website is in the process of being re-written and subsumed in GOV.UK. No more HMRC.gov.uk, no more Education.gov.uk, etc ... One day there will just be GOV.UK. Why? What's the point of all this energetic and agreeable re-writing of what has already been written? The answer has never been made clear.

How many government transactions will GOV.UK need to carry out every year? According to the Government Digital Strategy:
There is a huge volume of transactions with government. There were around 1 billion individual transactions a year with central government departments in 2011/12. This number rises to nearer 1.5 billion when other governmental organisations such as local government are taken into account ...
Clearly GOV.UK is intended to be a remarkably important national asset. It will act as the gateway or hub through which personal and corporate tax returns are made, passports are applied for, the electoral roll is maintained, benefits are paid, student loans are granted, vehicle excise duty is paid, licences are applied for, and so on – 1½ billion transactions a year.

Further on in the Government Digital Strategy we find:
Principle: Broaden the range of those tendering to supply digital services including more small and medium sized enterprises
and
The ICT Strategy stressed the need for government to procure its technical infrastructure - its servers, internet hosting, etc - as commodity services. The CloudStore framework is an example of this shift, with over 300 suppliers offering cloud-based solutions on a pay-as-you-use basis, with a maximum 12 months contract. The learning from the development of the CloudStore framework will be fed into other digital procurement and commissioning reform.
So-called "cloud computing" is being championed by Whitehall's G-Cloud team (government cloud) and they have provided an on-line shop, the CloudStore, making it easy for central and local government to buy IT services. It's just like using Amazon. There's even a little supermarket trolley to fill up.

GDS have elected to host GOV.UK in the cloud. And elected to do so, with a company called Skyscape Cloud Services Ltd whose wares are for sale on CloudStore.

Skyscape is a startup so young that it has yet to file any accounts with Companies House. It has filed an Annual Return, though, according to which Skyscape has no company secretary and only one director, a Mr Jeremy Robin Sanders, who is also the only shareholder in the company, holding all £1,000-worth of ordinary shares issued and fully paid-up.

GDS have decided to entrust an important national asset and 1½ billion transactions a year to Mr Sanders, a decision described in an open letter as "dangerous, imprudent, ill-advised, unprofessional, wrong-headed, unbusinesslike, undignified and irresponsible". No response has been received from GDS.

HMRC also have contracted with Skyscape, to store all the data currently held at their hundreds of local offices around the country – presumably all our personal and corporate tax returns and correspondence. In future, Mr Sanders will be responsible for the lot.

HMRC are a sensible lot, you may say to yourself, so perhaps GDS's GOV.UK hosting decision isn't so dangerous, imprudent, ill-advised, unprofessional, wrong-headed, unbusinesslike, undignified and irresponsible, after all? Maybe. Or are HMRC being dangerous, imprudent, ill-advised, unprofessional, wrong-headed, unbusinesslike, undignified and irresponsible, too?

The matter was taken up with HMRC. And they responded. They say that:
The G-Cloud was created by the Cabinet Office and the Government Procurement Services (GPS) ... In order to deliver services through G-Cloud, all suppliers on the Framework, Skyscape included, were required to meet a set of mandatory criteria set out by GPS including their financial standing and Experian risk assessments. Additionally, HMRC carried out its own standard taxation and financial compliance checks  before awarding the contract and Skyscape passed the standard set by the G-Cloud Framework and HMRC.
To which, all one can say is that there must be something wrong with the Cabinet Office, GPS and HMRC procurement criteria if they determine that it is safe to store all our records with a one-man startup with no track record.

The Skyscape contracts are subject to review by CESG, the information assurance arm of GCHQ. There is that one hurdle still to jump. Given that Skyscape's landlord advertises the address of the Skyscape data centre on its website and even provides a map how to get there, it's hard to see how Skyscape can pass CESG's security tests.

If CESG veto Skyscape, well and good. If not, that's another organisation to add to the dangerous, imprudent, ill-advised, unprofessional, wrong-headed, unbusinesslike, undignified and irresponsible list.

Suppose that the GDS and HMRC contracts weren't with Skyscape but with a bigger company – would that make them better?

No.

For several reasons.

The biggest supplier of cloud computing services in the world is Amazon. Reason #1, you will have noted Amazon's appearance in front of the Public Accounts Committee yesterday:
Andrew Cecil, head of public policy at Amazon, was lambasted by Mrs Hodge for avoiding the Committee’s questions. She said she would “summon” Amazon’s most senior executives as a matter of priority to make up for Mr Cecil’s “unacceptable nonsence.”
Amazon are in the dock, along with Google and Starbucks, for tax avoidance and one member of the Committee, Charlie Elphicke, was moved to suggest that:
The tax abuse can be stopped. We can tighten UK tax presence rules, we can stop the 'expenses' used to cut business tax bills in the UK and we should refuse Government contracts for companies that don't pay a fair share of tax in the UK.
We the public all have to pay our taxes, so should Amazon and Google and all of GDS's friends and Starbucks. If moral indignation gets us nowhere, perhaps a ban on government contracts would do the trick.

Reason #2, cloud computing is normally described as being like a utility, you only pay for the services you use, you don't have to pay for any overhead. It's a "no-brainer", as GDS put it.

It certainly is. No brains at all. Someone must be paying for the overhead. Whether Amazon or Skyscape. And they're going to pass the cost on to their customers. Whether HMRC or GDS – ultimately, us.

We've just had a month of daily news about how expensive our utilities are, gas and electricity, about how there's nothing even the prime Minister can do about it and, just yesterday, there was an allegation of utility price-fixing à la LIBOR. The utility model is not an attractive one. Which may be why GDS have taken to describing cloud computing as "commodity services" rather than the previously more conventional "utility services".

Reason #3, "cloud computing" means losing control. You don't own the computers. You don't own the buildings. You don't vet or train or manage the staff. The staff can be anywhere in the world, as can the computers, and your data with them, beyond your control, beyond the reach of English law. Ask the G-Cloud team about that, and they haven't got any answer. They're just following the latest fashion.

GDS have a weaselly argument that Whitehall is no different, they don't have to have secure data centres staffed by their own people, they can be just like all the other organisations in the world – and they use cloud computing. It sounds modest, doesn't it, and realistic.

But it's utterly mendacious. Some organisations do use cloud computing, some don't.

Ask a lawyer. Ask a lawyer about the legal problems. The data protection issues. The jurisdiction problems. The compliance problems. The commercial problems – what do you do if your supplier goes bust or is taken over by Huawei? Most of all, though, ask your lawyer if his or her firm uses cloud computing. Lawyers have to keep their clients' data under control and confidential. They can't do that if they haven't got a clue where in the world the data is or who's taking what backups. They'd go out of business the day after signing up with a cloud computing services supplier.

Whitehall also has a duty to keep control of our data and to keep it confidential. Cloud computing is an abrogation of that duty.

Reason #4, what does Larry Ellison, the President of Oracle, all $41 billion of him, have to say about cloud computing?
Maybe I'm an idiot, but I have no idea what anyone is talking about. What is it? It's complete gibberish. It's insane. When is this idiocy going to stop?
What do you know that Larry Ellison doesn't?

Where there should be answers to these questions in the Government Digital Strategy there are just holes. Revolution is proposed with no justification. And yet Sir Bob, the head of the home civil service, welcomes this fantasy.

Cloud computing, and GDS's fantasy strategy

For some time now, the Government Digital Service (GDS) have made the meaning of their digital-by-default agenda clear – they want the UK to be like Estonia.

It is thanks to the fact that practically every service in Estonia is delivered over the web that, back in 2007, Russia was able to bring the country to its knees in a matter of days. If GDS succeed with their "modernisation" plans, there will be nothing to stop that happening here in the UK.

GDS are in awe of the financial success and popularity of Apple, Amazon, eBay/PayPal, Google and Facebook. With no experience of government behind them, the over-promoted software engineers at the head of GDS want to bring their heroes' tricks to the delivery of public services in the UK.

Sensible people will see Facebook et al as latter-day Pied Pipers of Hamelin – sensible people, including the tens of thousands of public servants who will be laid off and replaced by GDS's computers when government is, as they say, "transformed".

Many of these organisations are famous for avoiding tax on their UK profits and for using their near-monopolies to tyrannise their suppliers and to milk their customers. But GDS somehow maintain their naïve veneration and on 6 November 2012 they published their Government Digital Strategy.

This fantasy strategy is an elaboration of Martha Lane Fox's ideas, set out in her October 2010 letter to Francis Maude, Directgov 2010 and beyond: revolution not evolution. Ms Lane Fox is the Prime Minister's digital champion, she's a historian, and when she says "revolution" she means it.

Her revolutionary fervour is carried over into last week's GDS strategy, which Sir Bob Kerslake – head of the home civil service, permanent secretary at the Department for Communities and Local Government (DCLG) and previously the chief executive of first the London Borough of Hounslow and then Sheffield City Council – has greeted with a post on GDS's blog, Welcoming the Digital Strategy:
Our reform plan also made a clear commitment to improve the quality of the government’s digital services, and to do this by publishing a Government Digital Strategy setting out how we would support the transformation of digital services [how does publishing a wishlist improve the quality of public services?].

We fulfilled that commitment yesterday with the launch of the Government Digital Strategy, Digital Efficiency Report and Digital Landscape Report and I very much welcome their publication.
But why? Why does Sir Bob "welcome" this emmental cheese of a strategy? It's full of holes. Consider cloud computing for example.