A new report suggests the UK is about to see a huge rise in the use of digital identity apps, suggesting a digital identity revolution. According to Juniper Research, the number of people using digital identity tools in the UK is expected to shoot up from 6.9 million in 2025 to 25.5 million in 2029. That’s a staggering 267% increase over just four years.

What’s driving this change? The UK Government and its upcoming GOV.UK Wallet are at the heart of the transformation, offering a secure and easy way for people to prove who they are online and in real life.

A Digital Identity Revolution

The GOV.UK app has been designed to make it simpler and quicker for people to access public services. With digital ID, everything from renewing a passport to applying for benefits could become much easier. And with over 45% of UK adults expected to be using the app by 2029, it seems many are ready to embrace this digital future.

The app’s growth could leave traditional third-party identity providers in the dust. While the GOV.UK app is predicted to soar in popularity; other digital ID apps are only expected to grow by 9% during the same period.

That’s not surprising, considering the GOV.UK app’s official status. People often trust government-backed systems more than private companies when it comes to sensitive information like their identity.

One of the major developments announced earlier this year is the GOV.UK Wallet –is a secure space on your phone where you can store important government-issued documents. Think of it as a digital version of your physical wallet, but smarter.

By the end of 2027, the Wallet will support documents like:

– Veteran Cards

– DBS checks

– And other official government credentials

What makes this even more interesting is that the Wallet won’t just be used for accessing government services. It could also be used in everyday situations, like proving your age when buying alcohol.

A Shake-Up for the Identity Provider Market

With the UK Government pushing ahead with its own digital identity solutions, third-party providers are being forced to rethink their strategies. The government has already certified more than 50 private sector companies under the UK Digital Identity & Attributes Trust Framework (DIATF).

But with the GOV.UK Wallet offering many of the same services, experts are questioning whether these certified providers will be able to compete fairly.

Richard Oliphant, a legal expert in digital identity, highlighted this concern, asking whether the GOV.UK Wallet could overshadow the efforts of DIATF-certified apps, despite their early start.

The research suggests that to stay relevant, third-party identity providers will need to get certified under the government framework like Verify 365 – or risk being left behind.

One of the biggest hurdles to the widespread adoption of digital identity in the UK has been public concern about privacy. Many people are still unsure about how their personal data is handled and whether digital systems can truly keep their information safe.

However, the Juniper report believes that combining official government backing with advanced third-party technology is the way forward. If people can see that both the government and trusted companies are working together to keep their data secure, they’re more likely to get on board.

Continued Innovation, Following Legal Sector Example

The UK government’s decision to digitalise identification processes follows the technological innovation within the legal sector. Law firms, solicitors and conveyancers have been utilising digital ID technology for more than just validating client information.

Legaltech companies like Verify 365 are offering a clear, efficient onboarding solution designed to combat AML and compliance concerns. Our technology also enables firms to complete comprehensive KYB checks, and with the approach to KYB changing, the ability to validating a business is changing with the times.

What This Means for You

For most people, the rise of the GOV.UK app and Wallet means easier access to services, fewer paper forms, and faster identity checks. Whether you’re applying for a job, travelling abroad, or verifying your age at a shop, a digital ID could make things a lot simpler.

It’s still early days, but with millions expected to sign up over the next few years, digital identity might soon be as common as using contactless payments or mobile banking.

The UK is gearing up for a digital identity revolution, and with millions of users expected to join by 2029 and government-issued documents going digital, this is set to change the way we interact with public and private services. For individuals and businesses alike, adapting to this change will be key to staying connected in an increasingly digital world.