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ARTICLE · 09 SEPTEMBER 2025

The Pensions Brief: September 2025

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The Court of Appeal has allowed an appeal against the High Court's decision to strike out nearly 400 claims for data protection breaches relating to annual benefit statements being sent to members...

United KingdomEmployment and HR

Issues affecting all schemes

Data breaches – court decision on compensation

The Court of Appeal has allowed an appeal against the High Court's decision to strike out nearly 400 claims for data protection breaches relating to annual benefit statements being sent to members using out-of-date addresses. The High Court had held that to have a viable claim, each claimant needed to show that they had a real prospect of demonstrating that the statement addressed to them was opened and read by a third party. However, there was no evidence that this had happened.

The Court of Appeal held that:

  • Compensation is payable for "non-material damage" resulting from a data protection breach. Such damage would include fears about the possible consequences of the breach if those fears were objectively well-founded.

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