The US Internet giant has also agreed to improve the way it trains staff on data protection issues as it seeks to manage a global row over the cars, which gather information for its free online mapping services.
"I welcome the fact that the Wi-Fi payload data that should never have been collected in the first place can, at last, be deleted," said Information Commissioner Christopher Graham, Britain's data protection watchdog.
He added: "I am very pleased to have a firm commitment from Google to work with my office to improve its handling of personal information.
"We don't want another breach like the collection of payload data by Google Street View vehicles to occur again."
He added: "I am very pleased to have a firm commitment from Google to work with my office to improve its handling of personal information.
"We don't want another breach like the collection of payload data by Google Street View vehicles to occur again."
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