UK Says U.S. Tech Deal Talks Still Active Despite Washington’s Suspension of Prosperity Pact
Britain maintains that negotiations over a landmark technology partnership with the United States continue as both sides seek to resolve trade disagreements
The British government has insisted that negotiations with the United States over a major technology cooperation deal remain active even after Washington announced a pause in implementing the so-called ‘Tech Prosperity Deal,’ a pact originally signed in September intended to deepen cooperation on artificial intelligence, quantum computing and related advanced technologies.
British officials reaffirmed their commitment to sustaining dialogue with their U.S. counterparts following reports that the Trump administration suspended the implementation of the agreement last week amid broader trade tensions over issues such as digital regulation, food standards and so-called non-tariff barriers.
The United States has cited concerns about Britain’s digital services tax and regulatory regime as key points of friction, but London has downplayed the suspension as a negotiating tactic rather than a breakdown in talks, stressing that both sides still see mutual benefits from closer technology and trade ties.
The Tech Prosperity Deal, heralded at the time of its signing as a generational step in U.S.–U.K. economic cooperation and backed by substantial investment pledges from major technology firms, was part of a wider suite of agreements reached during U.S. President Donald Trump’s state visit to Britain.
British ministers have continued high-level engagement with U.S. officials, including recent discussions intended to preserve momentum and address sticking points, with expectations that talks will resume in early 2026. London’s position reflects the United Kingdom’s broader strategy of cultivating strong transatlantic economic and strategic relations, even as it pursues large trade deals with other partners such as South Korea.
Despite the current pause, diplomats on both sides have emphasised that the underlying partnership is resilient and that continuing negotiations could yet yield a framework that satisfies U.S. concerns while advancing shared innovation goals.
The British government’s response underscores a determination to navigate complex trade differences without derailing cooperation on technology, investment and research that both countries consider vital to their competitive positions in global markets.
British officials reaffirmed their commitment to sustaining dialogue with their U.S. counterparts following reports that the Trump administration suspended the implementation of the agreement last week amid broader trade tensions over issues such as digital regulation, food standards and so-called non-tariff barriers.
The United States has cited concerns about Britain’s digital services tax and regulatory regime as key points of friction, but London has downplayed the suspension as a negotiating tactic rather than a breakdown in talks, stressing that both sides still see mutual benefits from closer technology and trade ties.
The Tech Prosperity Deal, heralded at the time of its signing as a generational step in U.S.–U.K. economic cooperation and backed by substantial investment pledges from major technology firms, was part of a wider suite of agreements reached during U.S. President Donald Trump’s state visit to Britain.
British ministers have continued high-level engagement with U.S. officials, including recent discussions intended to preserve momentum and address sticking points, with expectations that talks will resume in early 2026. London’s position reflects the United Kingdom’s broader strategy of cultivating strong transatlantic economic and strategic relations, even as it pursues large trade deals with other partners such as South Korea.
Despite the current pause, diplomats on both sides have emphasised that the underlying partnership is resilient and that continuing negotiations could yet yield a framework that satisfies U.S. concerns while advancing shared innovation goals.
The British government’s response underscores a determination to navigate complex trade differences without derailing cooperation on technology, investment and research that both countries consider vital to their competitive positions in global markets.
