The prime minister has set out the benefits that the proposed new Digital ID will bring.

These include making everyday life easier for millions, cutting red tape and putting power back in people’s hands. The digital ID will cut paperwork, save time and help people access services quickly, safely and securely.

Currently, people need to find documents like electricity bills to open a bank account, need a passport to apply for a job or a driving licence to buy a drink. The new digital ID will remove some of these requirements.

Every citizen will be entitled to one free of charge, meaning that people who don't have a passport of driving licence can still access services and jobs, helping to reduce inequalities.

A public consultation will be launched later in the year.

Prime Minister Keir Starmer said: "Digitisation has already transformed so many parts of our lives – from how we shop, travel and bank.

"But there’s so much more we can do to make people’s lives easier, simpler and more secure.

"The digital ID is about putting power back in people’s hands, cutting the faff out of rummaging through drawers for documents and pointless bureaucracy we have accepted for too long while bringing Britain into the modern age.

"This can be a boarding pass to getting on in life, helping people get a bank account, apply for a job or access childcare. Countries across the world are reaping the benefits of digital IDs, the British public should be able to as well."