A report on the US-UK Technology Prosperity Deal

Trade - Trade Deals

Published: 19 Sept 2025, by Wilson Lam

On 18 September 2025, the US and the UK (“Participants”) signed a Memorandum of Understanding (“Memorandum”) outlining the mutually agreed terms to the wider Technology Prosperity Deal (“TPD”).  The aim of this deal is to enhance strategic cooperation in frontier innovation including AI, nuclear energy, quantum computing, and 6G networks.



What is the TPD?

The TPD is a scientific partnership between the Participants aimed at enabling collaboration towards join opportunities in strategic science and accelerating innovation across critical technological sectors.  The partnership is built on three main bases.  First, the two countries have a longstanding track record in joint research.  Second, both countries have a pro-innovation regulatory regime.  Third, the two countries are each other’s “most trusted security and defence partners”.  

The third element provides some insight into the nature of the TPD and why it is of particlar importance right now.  It is clear that the TPD is not simply a technological enterprise, but more importantly, a critical security partnership.  



What was agreed in the TPD?

In the TPD, the Participants agreed to cooperate in four main scientific disciplines: AI, civil nuclear energy, quantum technologies, and foundations of frontier innovation.

For AI, the Participants intend to collaborate on building powerful AI infrastructure and facilitate AI research.  Important focus areas include,

1. Establishing a “joint flagship research programme” covering Participants’ respective government agencies for energy, science, health, and innovation.  The intention is to collaborate and develop datasets for AI in biotech, precision medicine, and fusion energy.  

2. The Participants also agreed to support US-UK led AI technology adoption, promote AI exports, secure AI hardware infrastructure, and working towards best practices in developing standards for AI models.

For civil nuclear energy, the Participants intend to pioneer and accelerate the deployment of advance nuclear technology, particularly nuclear fusion.  Important focus areas include,

1. Streamline and accelerate licensing by the US Nuclear Regulatory Commission, the UK Office of Nuclear Regulation, and the UK Environment Agency (EA).

2. Ensure secure and reliable supply chain of advanced nuclear fuels, and achieve independence from Russian nuclear fuel by 2028. 

3. Coordinate research, development, and use of experimental facilities and data, including through AI, to enable “cost competitive fusion power plants”.

4. Develop responsible and pro-innovation policy to support a US-UK led global fusion energy market.

For quantum technologies, the Participants intend to join forces to ensure that they are the first to realise true quantum advantage.  Important focus areas include,

1. Establish a US-UK benchmarking taskforce to accelerate breakthroughs in benchmarking across quantum computing hardware, software, and algorithms. 

2. Advance trusted, interoperable standards for quantum technologies through bilateral pre-standardisation activities in quantum computing, sensing, and networking. 

3. Accelerate quantum sensing from lab to deployment by testing technologies via centers of excellence and national laboratories. 

4. Create a US-UK Quantum Industry Exchange Program to spur adoption across defence, health, finance, and energy. 

5. Advance US-UK collaboration through our centers of excellence to trial and deploy sensing technologies exposing new science in real-world environments. 

For frontier innovations, the Participants intend to support secure development of cutting-edge technologies that deliver real benefits for the Participants’ citizens.  Important focus areas include,

1. Research security - deepen collaboration to protect their technologies and their people, identify and mitigate threats to research enterprise, strengthen threat analysis in key technology areas, and lead allies and partners to adopt similar rigorous practices to facilitate a trusted ecosystem of innovation.

2. Securing 6G - enable joint research and development in 6G-relevant technologies, to shape global telecommunications standards with the Participants’ shared priorities.

3. Positioning, navigation and timing - affirm shared dependencies on certain critical infrastructure, enhance cooperation on initiatives to improve timing resilience.

4. Secure investment - collaborate on securing and scaling private capital towards developing these technologies to secure economic vitality and national interests. 

For timeline, the Participants will establish a ministerial-level working group within 6 months of the date the Memorandum becomes operative (“Date”).  Within 12 months after the Date, and every year after that, the Participants will convene formal discussion to assess prograss under this Memorandum. 



What are the considerations and implications in joining the TPD?

The Memorandum outlines a very ambitious plan, with the intention to secure both US and UK’s global leading position in critical emerging technologies. 

For the UK, joining the TPD is widely within their favour.  By having the US formally recognising their “most trusted” relationship, the UK not only has higher access to the technologies, research capacity, and capital within the US, the UK can also position themselves as the unparalleled gateway into the US for other trade partners, particularly Europe.

For the US, the benefits of signing the TPD are less clear.  Unlike the UK, the US has robust risk capital, strong research and innovation capabilities, and better access to cutting-edge technology.  From a closer reading of the TPD, we see that the US’s considerations here are more strategic than scientific.  

The US intends to lead the world in frontier innovation, to ensure they capture and command the development of the next upcoming cutting-edge technology.  They hope to partner with countries that have similar technological advantages, without similarly disclosing too much critical information.  Since the UK is a long-time close ally of the US with a robust research environment, and the UK does not owe a higher allegiance to a larger competing polity (e.g., EU), the UK is ideal to form such a strategic partnership. 

Aside from the security considerations, the US also seeks to rely on the UK for three additional reasons.  First, to mobilise the leading global research capacity (e.g., Oxbridge) in the UK towards their cause.  Second, to use the UK as a testing ground in deploying infrastructure, new technology, and policy.  Third, to ensure that UK technological and innovative advantages do not go to China. 

It was repeatedly emphasised in the TPD that the Participants were to develop these frontier technologies to deliver "real benefits" exclusively to their citizens. Thus, we can see that the TPD acts not so much as a scientific partnership, but a security partnership on a scientific front. It remains to be seen how the TPD will play out over the next 12 months.



Artificial Intelligence – Chips – Civil nuclear energy – Disruptive technologies – Fusion energy – Quantum advantages – Research security – Private capital – Pro-innovation regulatory regime – US-UK Quantum Industry Exchange Program

Photo: the White House (2025), X