If the children and their families are unaware of the database, then there's a lack of accountability. I also saw no mention of controls in the article, though if there's controls that the families know nothing about, then they would be somewhat moot.
There's no evidence that any teachers can see it. It says safeguarding leads, which don't even have to be teachers. What's left of what you're saying if we remove your assumptions?
Where did you get this impression?