IT vendors fear being linked with ID cards scheme

Leading IT suppliers have told the government they may not bid for the national ID cards contracts because they fear being associated with the hugely unpopular scheme, according to a leaked report.

The details of the ID cards Procurement Strategy Market Soundings consultation with IT companies were revealed in The Sunday Times.

The leaked document said the 15 companies that responded to the consultation might not bid for any of the contracts to build the cards and the National Identity Register (NIR) because of the potential damage to their reputation.

The report said: "Recent indications show that the British public's appetite for the ID card is declining. Association with the resulting programme may compromise a company's public image."

The suppliers have also warned of security risks, saying the ID cards and NIR could be compromised by criminal gangs and identity thieves.

According to the paper, one company contradicted the government's assertions that a biometric ID card will last for 10 years without being renewed.

The company said: "In New Zealand the lifetime of the card and chip was reduced from 10 to five years, since holding information for 10 years on a card could be dangerous as criminal activities may be able to defeat chip security within these timescales."

Other concerns outlined by the IT companies include a lack of capacity to manufacture the ID cards or the iris recognition cameras needed to verify the card holder with their biometric eye scan.

BT, IBM, Motorola and Siemens are among the companies which contributed to the market sounding report, which the government was due to publish at the end of August.

Home Office minister Joan Ryan told MPs last week: "We have actively engaged the industry in dialogue about our procurement approach/options and industry feedback has been valuable in informing our emerging thinking."

The government has said it will also issue its first six-month report to parliament on 9 October on the latest likely cost of the ID cards scheme.