Decision to stop sale of spying software to Egypt puts other deals with repressive regimes in doubt
The continuing export of British-made surveillance technology has been thrown into question after the government admitted it had moved to restrict sales of spying software to Egypt.
Human rights campaigners say the government's decision to restrict the export of Gamma International's software, the first time it has taken action on such an issue, is a significant step towards the regulation of surveillance technologies. However, many other products remain a cause for concern, they say.
Gamma's FinFisher software can secretly take remote control of a computer, copy its files, intercept Skype calls and log every keystroke. It has emerged that Gamma demonstrated the software to Egyptian state security before the February 2011 revolution.
The campaign group Privacy International threatened to seek a judicial review of the decision by the Department for Business, Innovation and Skills not to bar the export of the software to Egypt. The action could have drawn attention to the wider sale of such technology by UK companies.
However, in a letter to Bhatt Murphy, Privacy International's lawyers, the Treasury Solicitor's Department, the government's legal adviser, said an assessment of the software had been carried out and Gamma had been advised "that the system does require a licence to export to all destinations outside the EU".
The letter said that "this is because it is designed to use controlled cryptography … the secretary of state also understands that other products in the FinFisher portfolio could be controlled for export in the same way".
The letter suggested the technology would not be approved for sale to Iran and Syria.
Eric King, head of research at Privacy International, said: "We welcome the government's decision to start controlling exports of FinFisher, and it is certainly a step in the right direction.
"However, without swift further action to bring other British companies under the export licensing regime, it's just a sticking plaster on a bullet wound. There are a number of pressing questions about the circumstances surrounding the government's volte-face that remain unanswered."
Martin J Muench, Gamma's founder, confirmed to the Observer that it was "in discussions" with the BIS.
He confirmed that Gamma had demonstrated the software to the Egyptian government, but stressed that this had occurred six months before the pro-democracy uprising.
"Gamma did not supply any FinFisher products to Egypt that could have been used during the movement of the opposition," Muench said. "Gamma only supplies its products and services to legitimate government organisations."
The 2012 report of the parliamentary committees on arms export controls (CAEC) highlighted the use of British exports to facilitate repression and prolong conflict in authoritarian regimes abroad. In the wake of the Arab spring, however, 158 licences for the sale of arms to countries such as Bahrain, Egypt and Libya were revoked.
But exports of surveillance technology, which are not subject to CAEC scrutiny and do not require an export licence, have continued.
Almost 250 British companies work in the communications surveillance industry, Privacy International says. Of these, only 62 have publicly available corporate social responsibility policies and only four have policies that place specific constraints on doing business with regimes that might use their technology to commit human rights abuses.
The government has hinted that the export of surveillance equipment could be subject to tighter regulation in the future.
The Treasury solicitor's letter stated that the secretary of state for business is "actively considering the possibility of international and/or EU-level agreement to further restrictions on the export of surveillance equipment. His current view is that this is by some measure the better option."