A $42B technology trade deal between the US and UK agreed to in September known as the Tech Prosperity Deal is at risk of collapse as the US is accusing the UK of reneging on assurances it would lower trade barriers as part of another deal that went into effect in late June.
Besides saying the UK hasn’t made enough progress to fulfill its end of the bargain in the May deal, the US also argues that the UK hasn’t done more to increase agricultural imports, ease its food safety standards, and change digital services taxes, The New York Timesreported.
The tech deal contains a provision that it only “becomes operative alongside substantive progress being made to formalize and implement” the May agreement, known as the Economic Prosperity Deal.
Tech companies led by Microsoft (MSFT), Nvidia (NVDA), and Google (GOOG)(GOOGL) committed GBP 31B (~$41.5B) as part of the Tech Prosperity Deal for UK investment, particularly in artificial intelligence, quantum computing, and nuclear energy advancements.
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