The Serious Organised Crime Agency is considering plans to outsource the database used to record suspicious activity reports, despite recent data losses by HM Revenue & Customs and the DVLA.

The proposal is aimed at reducing breaches in SARs confidentiality, but figures within the profession are concerned about outsourcing the highly sensitive reports.

‘If SARs information held by an outsourcing partner was to be lost the issues at the DVLA would pale into insignificance. SOCA will have to give assurances that the highest thresholds of security are met if,’ said John Davies, head of business law at ACCA.

Reporting suspicious activity to SOCA has long been a concern for the profession because of past breaches of security. In some cases, the identity of accountants making reports has revealed to suspects.

Since October 2006 SOCA has received 220,000 SARs. In 2007 there were only six such breaches of confidence.

The crime fighting agency believes that the technology underpinning the current database needs to be updated. Outsourcing SARs to an expert would also improve the way SARs data is utilised.

In its 2007 SARs annual report SOCA said that if it outsourced the database its supplier would have to ‘address necessary new requirements and meet participants’ reasonable performance expectations’.