Governments, regardless of what threat they wield against those they supposedly govern, are limited by the fact that they are organizations run by humans. For now. God forbid we ever reach the point where there are no humans... Anyways, because of that they require humans to ensure enforcement. A major reason why Yoti is able to do what it's doing is because there are no humans enforcing privacy and data protection laws against them. This means the reverse can also be true, where enough people motivated to do so can simply not enforce whatever requirement there is for Yoti's services to be used. Because the social contract's been not only breached but shredded and spread to the wind this is very likely to occur. In my viewpoint unfortunately the most likely reason is because they'll go with somebody else other than Yoti that provides more favourable terms, but that's an aside to the likely situation I outlined.

In addition, to the fact that governments are still run by us mere mortals, is the fact that even the government is unable to 100% to guarantee that our data is "safe" in their hands...