US-UK Tech Prosperity Deal Negotiations Stall Amid Broader Trade Frictions
Negotiations on the US-UK Tech Prosperity Deal have stalled due to wider trade-negotiation frictions, including concerns from the US about UK trade barriers.
Broader disagreements reportedly involve issues such as digital regulations and food safety rules. The UK government has not commented on these claims, and the White House has not responded.
The deal was initially unveiled during Donald Trump’s state visit in September and positioned as a generational shift in the bilateral relationship. UK Prime Minister Keir Starmer and Technology Secretary Liz Kendall highlighted the potential AI benefits of the deal.
Alongside the deal's announcement, a total of £31bn in planned spending was announced by Microsoft, Nvidia, and Google. These investment plans are believed to remain unaffected by the current negotiation stall.
Nvidia CEO Jensen Huang stated that the company's UK investment reflects a belief in the country becoming an AI superpower.
The UK government emphasized that the UK-US relationship remains strong and expressed confidence that the Tech Prosperity Deal would deliver opportunities for workers in both countries.
