The main problem with all different types of institutions being combined into a single one is the danger of "centralised personal information"..
which is actually the Orwellian scenario; Or what was used in the third Reich.
As soon all of your personal data, no matter if health insurance.. banking data, family.. etc. is refered to one single "identification" number
things become very dangerous.
"I am not a number! I'm a free man!!"
Imagine health insurances or employers knowing about genetical diseases for instance. It would not only affect your life.. but also the lives of your
children.. and so on.
Because they would probably calculate genetical probabilities and use it to evaluate risk and profit for every individual.
Another problem is school and education records: The employers will actually be able to look up your conduct @ school or education and they will know
if you had any special behavior.. which topics you were bad at.. if you have any illnesses like hyperactivity, ADS etc.
The governments do not really care about the important task of data protection anymore. In germany for instance if the "Personal Data Responsable"
mentions problems.. he will be bashed by politicians who ask him who he is to criticise em. So he has practically drawn the asscard.
Also the Personal Data Protection Laws are a Joke in most countries. They often state what is not allowed.. but there is no severe punishment designed
for any abuse or illegal behavior.
Which is clearly seen in the Swift banking scandal for instance.
Europe's central banks caught in US spy scandal