Data Protection Essentials for SMEs, and the first MTD quarterly tax deadline has passed
Good news as the ICO launches a free online training programme for SMEs to support with data protection regulation, and over 436,000 taxpayers have filed their first quarterly tax update using MTD.
Free ICO training helps SMEs strengthen data protection
The Information Commissioner’s Office (ICO), the UK’s data protection regulator, has launched a free online training programme called ‘Data Protection Essentials’, aimed at small and medium-sized organisations and sole traders across the UK.
The course is designed to help organisations and their staff understand data protection requirements and apply them confidently in day-to-day operations. It includes real-world examples tailored to different sectors and addresses common activities such as sharing information, managing records securely, marketing and customer engagement, and reducing the risk of data breaches.
According to the regulator, the programme was developed in response to research showing many smaller organisations want more clarity on what data protection means in practice and how to apply it day-to-day, especially where there’s no dedicated data protection expertise.
Key benefits for businesses taking part include:
- Improving how they manage and protect people’s information.
- Using personal data confidently while reducing risk.
- Involving colleagues to build shared knowledge across the organisation.
- Understanding legal responsibilities more clearly.
- Demonstrating a commitment to protecting personal information and building trust.
Individuals completing the training receive a digital certificate that they can share publicly. Organisations can also undertake a short self-assessment and once completed, also earn a certificate and the option to be listed on a public Data Protection Essentials register.
Faye Spencer, the ICO’s Head of Business Services, said the programme was designed “to be flexible, self-paced and easy to fit around busy working days. It breaks data protection into achievable steps that help build confidence over time. Our aim is to give organisations the confidence to use personal information responsibly and effectively, helping them build trust, reduce risk and achieve their goals”.
If your business handles personal data but does not have dedicated compliance expertise, this free training could be a cost-effective way to improve staff awareness and reduce risk. The ICO’s Data Protection Essentials page can be found here.
Making Tax Digital for Income Tax first quarter statistics published
Under Making Tax Digital (MTD) for Income Tax, sole traders and landlords with income of more than £50,000 have been required to keep digital records and send quarterly updates to HMRC since 6 April 2026.
The first quarterly submission deadline, covering the first three months of the 2026-27 tax year, passed on 7 August 2026. HMRC have since issued a press release confirming that 436,000 taxpayers filed their first quarterly tax update by the deadline and reminding those who have not submitted their update to do so using HMRC-recognised software.
Slow uptake
HMRC’s press release reveals that as of 12 August 2026, over 570,000 taxpayers had signed up for MTD for Income Tax.
In August 2025, based on 2023-24 figures, HMRC estimated that some 864,000 taxpayers would need to sign up from April 2026, meaning that around one third of taxpayers who should have registered for MTD for Income Tax from April 2026 had not signed up.
HMRC’s response
From September, HMRC will sign up taxpayers who are required to use MTD for Income Tax for 2026-27, but who have not yet registered for the service themselves.
- Taxpayers can avoid being signed up by HMRC by signing themselves up now, ensuring their MTD details are correct at the outset.
- HMRC will publish guidance in late August to explain what taxpayers need to do if they receive a letter from HMRC about being signed up.
MTD for Income Tax should not be ignored, with HMRC reminding taxpayers that it is a legal requirement for sole traders and landlords earning more than £50,000 from self-employment and property to comply, unless exempt (e.g. due to digital exclusion).
Taxpayers are also reminded that from April 2027, those earning more than £30,000 from self-employment and property will be required to comply.
Penalties
While HMRC have confirmed that there will be no penalty points for late quarterly updates in 2026-27, penalties will still apply for late tax returns and late payments.
Quarterly updates do not replace the Self Assessment tax return. Those within scope of MTD for Income Tax must submit their quarterly updates in order to file their tax returns by 31 January.
A points-based penalty system will be introduced from 6 April 2027. Taxpayers will receive one point for each missed quarterly deadline and a £200 fixed penalty once four points have accumulated.
If you have not yet registered for MTD for Income Tax and are concerned that it may apply to you, contact us as soon as possible so we can help you assess your obligations.
See 436,000 sole traders and landlords make their tax digital – GOV.UK