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Downing Street insists negotiations over US-UK tech deal still live

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Downing Street insists negotiations over US-UK tech deal still live

36 minutes ago Share Save Liv McMahon Technology reporter Share Save

Reuters

Downing Street says the UK remains in "active conversations with US counterparts at all levels of government" about a wide-ranging tech deal. The BBC understands talks over the Technology Prosperity Deal have stalled because of US concerns about what it considers to be wider UK trade barriers. Billed as "historic" when it was unveiled during US President Donald Trump's state visit in September, the partnership saw both countries pledge to co-operate further in areas such as AI and quantum computing. "We're confident of securing a deal that will shape the future of millions on both sides of the Atlantic," the Prime Minister's official spokesman said.

He said he would not comment directly on what were "live" discussions but added "negotiations of this kind are never straightforward". The New York Times - which first reported the story - said there were "broader disagreements" between the two sides, including over digital regulations and food safety rules. The UK government did not comment on these specific claims. The White House has not responded to the BBC's request for a comment. When the deal was announced the government was keen to highlight the benefits it said it would bring. "This Tech Prosperity Deal marks a generational step change in our relationship with the US," Prime Minister Sir Keir Starmer said in a statement. Technology secretary Liz Kendall said the partnership would "transform lives across Britain" and was a "vote of confidence in Britain's booming AI sector." At the same time the deal was revealed, a series of US tech firms announced a flurry of investment in the UK. A total of £31bn in planned spending was set out by tech giants including Microsoft, Nvidia and Google. It is believed those investment plans are unaffected. Google, Microsoft and Nvidia have also been approached for comment, but the firms have not yet responded to the BBC. Nvidia boss Jensen Huang said in September his company's UK investment reflected his belief it could become an "AI superpower" - an ambition championed by Sir Keir's government. It said investment announced by tech firms alongside the Tech Prosperity Deal would be used to scale-up AI infrastructure such as data centres, across the UK.

'Piecemeal approach'