The Role of Digital Identity in Building Trust and Expanding Access to Government Services

Introduction

Digital identity is rapidly transforming how Australians interact with government. As the Digital ID Bill 2024 comes into effect and myGovID adoption accelerates, digital identity solutions are reshaping access, security, and trust in public services. These changes are not just about technology—they are about inclusion, confidence, and the future of citizen-government relationships.

The Impact of the Digital ID Bill 2024 and myGovID

The Australian government’s rollout of the Digital ID Bill 2024, alongside a significant AU$288 million investment, marks a pivotal moment for digital identity. myGovID, the government’s flagship digital identity platform, has seen a surge in adoption: 73% of Australians now have a myGovID login, up from 60% in 2023. The vast majority (91%) report positive experiences, and 83% find the service trustworthy. This growing confidence is crucial as digital identity becomes the gateway to a broader range of government services.

myGovID is not just a login—it is a foundation for seamless, secure, and efficient access to services. Users are more than twice as likely to rate their digital service experiences as ‘excellent’ compared to non-users, and almost three times as likely to believe the government is improving in digital delivery. The next phase will see digital identity extend to business transactions, further reducing identity theft and limiting unnecessary data sharing.

Improving Access and Inclusion

Digital identity is a powerful enabler of access, but its benefits are not yet universal. While 85% of Australians used an online government service in the past year, significant gaps remain. Lower-income households, the unemployed, and those without university education are less likely to engage with digital services. For example, there is a 10% gap in myGovID and digital wallet usage between higher and lower earners. One-third of households earning less than $100k struggled to find, use, or understand online government services, compared to 23% of higher-income households.

These disparities are compounded by the cost-of-living crisis, digital literacy challenges, and infrastructure gaps—especially in rural and remote areas. Vulnerable groups, including older Australians, Indigenous communities, and those with health or mental health challenges, also face barriers. Addressing these divides is essential to ensure that digital identity solutions do not leave anyone behind.

Building Trust: Security, Privacy, and Public Sentiment

Trust is the cornerstone of digital government. While satisfaction with digital services is high (93%), trust in government’s ability to protect data has declined. Over half (52%) of Australians have lost trust in government data security and privacy, a figure that rises to 59% among under-45s. High-profile data breaches and concerns about identity theft and data misuse have heightened public anxiety.

Security, privacy, and data governance are now critical to the digital agenda. Encouragingly, myGovID users are more likely to feel safe trusting the government with their data (21% versus 8% for non-users). However, 56% of Australians remain concerned about data safety. Clear, transparent communication about how data is used and protected is vital to rebuilding trust and encouraging wider adoption.

Demographic Differences in Adoption

Adoption of digital identity solutions varies across demographic lines:

These differences highlight the need for targeted digital inclusion programs, improved infrastructure, and tailored support to ensure equitable access.

Best Practices for Expanding Digital ID Usage

To maximise the benefits of digital identity and address concerns, governments should:

  1. Prioritise Human-Centric Design: Services must be intuitive, accessible, and responsive to diverse needs. This includes designing for vulnerable groups and ensuring accessibility for those with disabilities or limited digital skills.
  2. Strengthen Security and Privacy: Robust data protection measures, transparent communication, and clear governance frameworks are essential. Citizens need reassurance that their information is safe and used responsibly.
  3. Expand Digital Literacy and Inclusion: Invest in digital skills training, especially for disadvantaged groups. Address infrastructure gaps in rural and remote areas, and provide support for those facing financial or social barriers.
  4. Promote Awareness and Trust: Many Australians are not using digital services simply due to lack of awareness. Proactive outreach, education, and clear messaging about the benefits and safety of digital identity can drive adoption.
  5. Foster Collaboration and Integration: Seamless experiences require coordination across government departments and with private sector partners. Integrated platforms and consistent user interfaces make it easier for citizens to navigate services.

Looking Ahead: The Future of Digital Identity in Australia

The Digital ID Bill 2024 and the growing adoption of myGovID are setting the stage for a more connected, efficient, and inclusive public sector. As digital identity becomes central to service delivery, the focus must remain on building trust, closing the digital divide, and ensuring that every Australian can benefit from the digital transformation of government.

By embracing best practices and addressing the real concerns of citizens, digital identity can be a catalyst for greater trust, access, and value in public services—delivering on the promise of a truly citizen-centric digital government.