As a Dual British/Swedish Citizen, I really do not trust the UK government. They have proven over and over and over, that at every opportunity presented they will increase their own authority. I don’t believe I have personally witnessed any other advanced economy that so ardently marches towards authoritarianism.
So, no matter if it’s a good idea or not. I can’t in good faith advise the UK having more powers. Unfortunately the UK government themselves can sort of just grant themselves more power. So…
[0]: https://e-estonia.com/card-security-risk/
[1]: https://therecord.media/estonia-says-a-hacker-downloaded-286...
Implementing those requirements didn't depend on there being a digital ID system. Instead we have a hodge podge of bad requirements (like "wet" signatures on specific documents, using of non-UK based private providers etc).
Implementing a digital ID system could reduce inequalities (for example, people who don't have passports and driver's licenses have more difficulties in some circumstances) and also reduce dependencies on non-UK orgs who may not do that well with privacy.
That's not to say there aren't risks of course, but other European countries seem to have managed to implement these systems without becoming totalitarian police states :)