Protecting Economic Well‐Being: The Paradox of Economic Espionage

Abstract

The Security and Intelligence Services (known as MI5 and MI6) have statutory authority to act in respect of the economic well‐being of the UK. The Security Service Act 1989 defines MI5's role as being to safe‐guard economic well‐being, while the Intelligence Services Act 1994 empowers MI6 more specifically to obtain and provide information in relation to this interest. Both organisations are limited, in this context, to operating in respect of the actions or intentions of persons outside the British Isles. This concern with the protection of economic well‐being is not a recent development. As long ago as the 18th century, Parliament was sufficiently concerned by the suborning of skilled British workers by the French to pass legislation against industrial espionage. At the same time, Britain was sending intelligence agents into France to gather similar information. The state and private industry worked closely together to protect national interests from espionage, and to seek out intelligence on foreign industrial techniques. The nature of the intelligence sought covered purely commercial targets, such as wool manufacturing and clock making, as well as military technology, such as shipbuilding. This brief historical comparison high‐lights issues which are still pertinent. First, the shared interest that government and industry have in acquiring intelligence in this area. Secondly, that such espionage has a twofold objective of gathering information relating to both commercial and military‐industrial matters.