The Information Commissioners Office is inviting comments on an 18-page framework code, covering issues such as retention; security and access to personal information; deciding to share personal information; and freedom of information.
The code is being drawn up because of the large number of queries the office gets from bodies such as local authorities and police about information sharing. The framework code aims to help organisations to adopt good practice when sharing information and to comply with the Data Protection Act.
The ICO is encouraging organisations to use the framework code to produce their own codes of practice.
By addressing the main data protection issues such as information security, accuracy of information and retention periods, the framework code will help organisations make well-informed decisions about sharing personal information.
Iain Bourne, head of data protection projects at the ICO, said: "Good practice in this area is of paramount importance. Organisations that share information must do so responsibly. If they do not, they risk losing individuals' trust."
ICO said that organisations would be able to adopt the framework code in its entirety, or use sections of it in existing policies.
The framework can be read and comments made .