Employers at the NHS Confederation conference have been warned not to let staff off the hook over data breaches.
NHS Employers acting joint director Sian Thomas said some trusts were not being tough enough on staff who misused patients' private information.
The warning follows a series of embarrassing data losses in the public sector, with officials' laptops containing personal details left on trains or discovered by burglars.
Ms Thomas said similar cases in the NHS had resulted in "no consequences for the people who have done that [violated privacy rules]."
This was particularly true where doctors had been involved, she said.
NHS chief executive David Nicholson last month sent a letter to trust chief executives reminding them of their duty to comply with information governance standards.
Trusts needed to be aware that the standards also applied to any partners, Ms Thomas said.
"What has been happening is that NHS organisations have partnered with [independent sector firms] and what hasn't been described is that this is what they're required to do.
"This is a major failure of procurement processes. The provider company then says 'we weren't aware of these information governance standards'."
With summary care records and choose and book systems being rolled out across the country, it was vital that the standards were adhered to, she said.
"We still get people passing smart cards to each other and asking for team smart cards. This isn't sustainable for the future," Ms Thomas said.
The NHS Employers briefing also discussed the possibility of unions re-opening a three-year pay deal for Agenda for Change staff due to sharp inflation rises.
Director of pay, negotiations and employment relations Gill Bellord said: "We've been working very hard to make sure the deal is sustainable. There's a very tight re-open clause."
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