Supreme Court decision could trigger surge of minor GDPR compensation claims

The Supreme Court will decide whether claimants can obtain damages for anxiety or distress caused by data breaches without demonstrating that the information was actually accessed. The dispute stems from a 2019 breach where Paymaster, operating under Equiniti, mailed pension statements containing names, NI numbers and salaries to outdated addresses, affecting about 450 police officers. While the High Court dismissed most claims, the Court of Appeal reversed that stance, removing any seriousness test.

Legal experts say a ruling against Paymaster could inundate companies with trivial GDPR claims, straining court resources and business finances. Equiniti also manages pension schemes for many public sector bodies and provides shareholder services for roughly half of FTSE 100 firms. The outcome will shape how data-privacy litigation proceeds across the UK.