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The US is stalling the implementation of a $40 billion technology agreement with UK, officials said, following concerns in Washington over London\u2019s approach to digital regulation and food standards.<\/strong><\/p>\n The \u201cTech Prosperity Deal,\u201d covering artificial intelligence, quantum computing, and civil nuclear energy, was agreed during President Donald Trump\u2019s state visit to Britain in September, in a celebration of the countries\u2019 close ties and ability to work together on trade and technology.<\/p>\n Britain became the first country to agree in principle to lower some US tariffs in May, but implementation has been slow. Talks on sectors such as steel stalled, though the two sides agreed a framework pharmaceutical deal earlier this month.<\/p>\n British officials confirmed on Tuesday that the U.S. has paused implementation of the tech deal. The New York Times, which first reported the move, said U.S. officials were frustrated by Britain\u2019s online safety rules, digital services tax, and food safety restrictions.<\/p>\n BRITAIN SAYS IT IS COMMITTED TO WORKING WITH UNITED STATES<\/strong><\/p>\n UK ministers say the May tariff deal allowed higher U.S. beef exports without compromising UK standards and insist digital regulations and tax will not be negotiated away.<\/p>\n A spokesperson for British Prime Minister Keir Starmer declined to comment in detail on what he said were \u201clive negotiations,\u201d adding that the relationship with Washington was still strong.<\/p>\n \u201cNegotiations of this kind are never straightforward. Both parties obviously want what\u2019s best for their countries, but\u2026 we remain in active conversations,\u201d he told reporters, adding it was \u201cnatural and normal\u201d for countries to prioritise their own interests.<\/p>\n \u201cThese talks are not simple. They are complex, and they take time to secure.\u201d<\/p>\n Under the Tech Prosperity Deal, Britain and the United States agreed to work together on quantum computers and artificial intelligence, while the likes of Microsoft, Google, Nvidia and OpenAI pledged to invest tens of billions of dollars in Britain.<\/p>\n The White House did not immediately respond to Reuters\u2019 request for comment.<\/p>\n The U.S. is Britain\u2019s largest trading partner, and its big tech companies have already invested billions of dollars in their UK operations.<\/p>\n British Trade Secretary Peter Kyle visited the United States last week for talks with trade officials and tech firms, and \u201craised the importance of keeping up momentum on implementing all aspects of the UK-U.S. deal,\u201d his office said.<\/p>\n \u201cBoth sides agreed to continue further negotiations in January.\u201d<\/p>\n<\/div>\n