The PSTI Act: Countdown to the UK’s new product security legislation begins

  • 2024-08-20

Japanese

The UK’s Product Security and Telecommunication Infrastructure Bill (PSTI Act) received Royal Assent and was passed on 7 December 2022.*1

In this article, we look back over the UK’s product security initiatives to date, explain what new requirements are introduced by the PSTI Act and highlight the key dates manufacturers need to be aware of.

Mandatory security measures required by the PSTI Act

There will not be a grace period/transitional period before the full set of PSTI requirements come into effect.

At the time of writing, the requirements, date of enactment and other details are still being decided by the Minister of State for Digital, Culture, Media and Sport (DCMS).

The PSTI Act will also require manufacturers to declare that their products comply with the PSTI requirements, before launching products in the UK market. The penalty for violation will be 10 million pounds or 4% of the manufacturer’s total worldwide sales for the most recent financial year (whichever is greater). This is like the European Cyber Resilience Act, which we introduced the other day.

Applicable products

The applicable products are described as ‘internet-connectable’ or ‘network-connectable’ products, but the Act does not mention them in specific detail. According to the above-mentioned factsheet, the products covered by the Act include, but are not limited to the following:

  • Smartphones
  • Connected cameras, TVs and speakers
  • Connected children’s toys and baby monitors
  • Connected safety-relevant products, such as smoke detectors and door locks
  • Internet of Things base stations and hubs to which multiple devices connect
  • Wearable connected fitness trackers
  • Outdoor leisure products, such as handheld connected GPS devices that are not wearables
  • Connected home automation and alarm systems
  • Connected appliances, such as washing machines and fridges
  • Smart home assistants

Products not covered by the Act are devices and equipment for which security requirements have already been defined, such as smart meters, charging points for electric vehicles, medical devices and equipment, and industrial control system devices.

Applicable parties

The Act applies to the following:

  • Manufacturers in the UK, those indicating they are manufacturers by attaching product trademarks, etc. and those modifying products to ensure compliance with UK market regulation
  • Representatives of manufacturers in the UK and importers of products
  • Distributors of products in the UK, including those marketing products online

The timing of the enforcement of the PSTI Act is left to the Secretary of State, including the decision whether to include a transitional period. The factsheet states that the government will ‘provide at least 12 months’ notice’ to enable relevant parties to adjust their business practices before the legislative framework fully comes into force. The Act will be enforced in December 2023 at the earliest, and the preparatory time to develop systems to introduce the required security measures is rapidly running out.

Conclusion

The recently established PSTI Act has some uncertainties, such as specific security measures. However, based on the information available during the consideration phase, it can be described as a law that requires manufacturers to improve product security.

In fact, the Act does not demand a great deal regarding the robustness of product security; care has been taken to not introduce overly burdensome product design specifications. On the other hand, the Act does require manufacturers to establish maintenance systems for security measures after product shipment, including the setting up of contact points to receive vulnerability information, to provide security updates and manage the record of addressed vulnerabilities. The PSTI Act clarifies where the responsibility lies for the security quality of connected devices and is expected to be clarified further by the addition of more security requirements in the future.

Besides the PSTI Act, other product security regulations and standards are being created. Manufacturers need to monitor the regulatory landscape in the countries and regions where they are considering doing business and ensure the security of their products meets or exceeds the requirements of the latest regulations and standards.

Key contributors

Ken Okuyama

Director, PwC Consulting LLC

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Kenji Uesugi

Director, PwC Consulting LLC

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Bilig Eredon

Manager, PwC Consulting LLC

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Thomas Baker

Manager, PwC Consulting LLC

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