Back to News
quantum-computing

US suspends technology deal with the UK

Financial Times
Loading...
6 min read
1 views
0 likes
US suspends technology deal with the UK

Summarize this article with:

US President Donald Trump and UK Prime Minister Keir Starmer signed the deal in September at Chequers during his state visit to Britain © Getty ImagesUS suspends technology deal with the UK on x (opens in a new window)US suspends technology deal with the UK on facebook (opens in a new window)US suspends technology deal with the UK on linkedin (opens in a new window)US suspends technology deal with the UK on whatsapp (opens in a new window) Save US suspends technology deal with the UK on x (opens in a new window)US suspends technology deal with the UK on facebook (opens in a new window)US suspends technology deal with the UK on linkedin (opens in a new window)US suspends technology deal with the UK on whatsapp (opens in a new window) Save Aime Williams in Washington and George Parker in LondonPublishedDecember 15 2025Jump to comments sectionPrint this pageUnlock the White House Watch newsletter for freeYour guide to what Trump’s second term means for Washington, business and the worldThe US has suspended implementation of a technology deal it struck with the UK during Donald Trump’s state visit to Britain, amid growing frustrations in Washington over the progress of trade talks with London.The US-UK “technology prosperity deal”, which was announced in September, aims to spur co-operation between the two countries in areas including artificial intelligence, quantum computing and nuclear energy. British officials on Monday confirmed the US suspended the deal last week, with one saying the Trump administration was pushing for UK concessions in areas of trade outside the tech partnership. Trade talks have been taking place between the US and UK since the two sides struck a deal to alleviate the worst of Donald Trump’s tariffs on British goods in May.People familiar with those talks said US officials were becoming increasingly frustrated with the UK’s lack of willingness to address so-called non-tariff barriers, including rules and regulations governing food and industrial goods.Although the UK agreed to allow 13,000 tonnes of US beef to enter the country free of tariffs each year, the trade deal said the two sides would continue to work together to improve market access for more American agricultural products. The US has long wanted the UK to recognise American standards on food and agricultural products, but there were no specific commitments outlined in the deal. Trump has also previously been critical of digital services taxes imposed on tech companies by US trading partners, including the UK.But one UK official denied that Britain’s digital services tax, which affects US tech companies, was a serious problem.“The digital services tax is a red herring,” the official briefed on the trade talks between the two sides said.“We are down to negotiating some of the most difficult issues. Both sides expect this to take some time. But the dialogue remains open, active, and constructive.”UK business secretary Peter Kyle and science secretary Liz Kendall travelled to the US last week to meet tech leaders, although their visit was planned before the Trump administration suspended the deal covering the sector.Another British official said their US counterparts were “very tough negotiators, but we are pretty sure we can get this back on track”.A UK government spokesman said: “Our special relationship with the US remains strong and the UK is firmly committed to ensuring the tech prosperity deal delivers opportunity for hardworking people in both countries.”Earlier this month, the UK said it would increase NHS spending on medicines after the US agreed to waive tariffs on British drug exports. A White House official said on Monday the pharmaceutical pact struck by the two countries was “historic” and the US and the UK would “continue to work towards full implementation” of the trade deal. Reuse this content (opens in new window) CommentsJump to comments sectionPromoted Content Follow the topics in this article Trump tariffs Add to myFT UK trade Add to myFT US-UK relations Add to myFT National Health Service Add to myFT UK Government Add to myFT CommentsThe US has suspended implementation of a technology deal it struck with the UK during Donald Trump’s state visit to Britain, amid growing frustrations in Washington over the progress of trade talks with London.The US-UK “technology prosperity deal”, which was announced in September, aims to spur co-operation between the two countries in areas including artificial intelligence, quantum computing and nuclear energy. British officials on Monday confirmed the US suspended the deal last week, with one saying the Trump administration was pushing for UK concessions in areas of trade outside the tech partnership. Trade talks have been taking place between the US and UK since the two sides struck a deal to alleviate the worst of Donald Trump’s tariffs on British goods in May.People familiar with those talks said US officials were becoming increasingly frustrated with the UK’s lack of willingness to address so-called non-tariff barriers, including rules and regulations governing food and industrial goods.Although the UK agreed to allow 13,000 tonnes of US beef to enter the country free of tariffs each year, the trade deal said the two sides would continue to work together to improve market access for more American agricultural products. The US has long wanted the UK to recognise American standards on food and agricultural products, but there were no specific commitments outlined in the deal. Trump has also previously been critical of digital services taxes imposed on tech companies by US trading partners, including the UK.But one UK official denied that Britain’s digital services tax, which affects US tech companies, was a serious problem.“The digital services tax is a red herring,” the official briefed on the trade talks between the two sides said.“We are down to negotiating some of the most difficult issues. Both sides expect this to take some time. But the dialogue remains open, active, and constructive.”UK business secretary Peter Kyle and science secretary Liz Kendall travelled to the US last week to meet tech leaders, although their visit was planned before the Trump administration suspended the deal covering the sector.Another British official said their US counterparts were “very tough negotiators, but we are pretty sure we can get this back on track”.A UK government spokesman said: “Our special relationship with the US remains strong and the UK is firmly committed to ensuring the tech prosperity deal delivers opportunity for hardworking people in both countries.”Earlier this month, the UK said it would increase NHS spending on medicines after the US agreed to waive tariffs on British drug exports. A White House official said on Monday the pharmaceutical pact struck by the two countries was “historic” and the US and the UK would “continue to work towards full implementation” of the trade deal.

Read Original

Tags

quantum-computing
partnership

Source Information

Source: Financial Times