US pauses ‘historic’ technology agreement with UK over trade concerns

The United States paused a technology agreement with the United Kingdom that was announced during President Donald Trump’s state visit to the U.K. in the fall. 

The “technology prosperity deal” addresses artificial intelligence, quantum computing, and civil nuclear energy. It was hailed by Trump in September as a “historic” deal that would “ensure our countries lead the next great technological revolution side by side.”

But officials confirmed Monday that implementation of the deal was suspended, with the U.K. saying the setback came after the U.S. pushed for concessions in areas of trade outside the tech partnership, according to the Financial Times and other outlets. 

The U.S. had reached a separate agreement with the U.K. in May centered on trade. In the months since, the countries have continued to hammer out details surrounding how to execute that deal, with officials suggesting it is now suspending implementation of the tech package as leverage in the ongoing trade negotiations to gain concessions on food safety regulations and additional rules governing agricultural products and industrial goods, among other issues. 

U.K. Prime Minister Keir Starmer’s office declined to comment in detail on what he said were “live negotiations,” saying that the relationship with the Trump administration remains strong. 

It is “natural and normal” for countries to prioritize their own interests, a spokesman for Starmer told reporters. “Negotiations of this kind are never straightforward. Both parties obviously want what’s best for their countries, but … we remain in active conversations.” 

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After the “historic” technology deal was announced, a flurry of U.S. firms, including Microsoft, Google, Nvidia, and OpenAI, pledged to funnel around $40 billion in investments into the U.K. It is believed those investment plans are unaffected by the latest development, according to the BBC.

The Washington Examiner reached out to the Treasury Department and White House for comment, but did not receive a response. 

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