The United States has suspended the “Technology Prosperity Deal” with Britain, a move reportedly tied to frustrations over trade negotiations with the Labour Party-led British government. The agreement was initially signed during Donald Trump’s state visit to Britain earlier this year and aimed to boost cooperation on emerging technologies including artificial intelligence, quantum computing, and nuclear energy.
U.S. officials have expressed concerns about Britain’s reluctance to address non-tariff barriers such as regulations governing food and industrial goods. Despite these challenges, Downing Street insists that discussions remain active and productive.
“First of all, we remain in active conversations with U.S. counterparts at all levels of government, and we’re confident of securing a deal that will shape the future of millions on both sides of the Atlantic,” said Prime Minister Keir Starmer’s official spokesman. He added, “Negotiations of this kind are never straightforward, and both parties obviously want what’s best for their countries.”
Signed in September by Prime Minister Starmer and President Trump, the memorandum of understanding included substantial investment pledges from major U.S. tech companies to the United Kingdom, with Microsoft committing $29.5 billion (£22 billion) and Google pledging $6.7 billion (£5 billion).