As with so much this 'government' presides over it appears to be worse than at first thought:
http://news.bbc.co.uk/1/hi/uk_politics/7199658.stm
This time it's that well known part timer Des Browne who's reassuring us about just how seriously they take this sort of thing

Oh and yes, you guessed it.... the data was unencrypted and he's ordering a review!!!!!!