The Technology Prosperity Deal (TPD) marks a commitment from both countries to work together to usher in the next 'Golden Age of Innovation', with the aim of harnessing our mutual science and technology capabilities to drive economic growth. Recognising our long history of working together on research, innovation, defence, and technology, the TPD will look to strengthen transatlantic leadership in these strategic areas.
What has been announced?
Accelerating AI innovation
- Establishing joint Flagship Research programmes between UK and US government departments.
- Advancing R&D approaches to accelerate the application of AI for science through a new DSIT and DOE (US Department of Education) partnership.
- Utilising AI for space partnership between NASA and the UK Space Agency.
- Leading on pro-innovation AI policy frameworks and efforts to support AI technology adoption.
- Promoting UK and US AI exports.
- Exploring opportunities for collaborating in building secure AI infrastructure.
- Developing the workforce of the future by ensuring citizens of both countries benefit from AI supply chain opportunities.
- Progressing the partnership between the UK AI Security Institute and US Center for AI Standards to promote secure AI innovation.
Unleashing civil nuclear energy
The TPD outlines a bold commitment for both countries to work together to pioneer breakthrough technologies, pursue collaborative initiatives in areas like advanced nuclear reactors and fusion energy, and beat strategic competitors to market dominance.
Areas for collaboration will likely include:
- Non-proliferation and security programmes.
- Facilitating commercial partnerships whilst addressing market barriers to accelerate the deployment of advanced nuclear reactors in both countries.
- Streamlining and accelerating licensing across the UK Environment Agency and its American counterpart.
- Supply chains for advanced nuclear fuels and full independence from Russian nuclear fuel by the end of 2028.
- Safe and secure deployment of civil nuclear exports in third countries.
- Research, development and use of experimental facilities and data to lay the path for cost-competitive fusion power plants.
- Pro-innovation policy and regulation to support a US and UK-led global fusion energy market.
- Opportunities for novel applications of advanced nuclear energy.
Securing quantum advantage
The UK and US will work together to build quantum machines that transform defence, finance and healthcare, whilst creating high skilled jobs and protecting citizens.
Focus areas will include:
- UK-US benchmarking taskforce to accelerate breakthroughs in benchmarking across quantum computing, hardware, software and algorithms.
- A new transatlantic Quantum Code Challenge.
- Accelerating quantum algorithm development through R&D collaboration.
- Standards for quantum technologies.
- Quantum sensing.
- UK-US Quantum Industry Exchange Programme to spur adoption across defence, health, finance and energy through reciprocal industry engagements.
- Advanced collaboration through centres of excellence to trial and deploy sensing technologies.
What’s next for the TPD?
A Working Group will be established and convened by April 2026 and will act as a strategic forum to guide bilateral cooperation. Led by Ministers, the Working Group will set priorities and oversee the implementation of any joint initiatives.
Subsequently, both governments will meet annually to assess progress made under the TPD and determine the direction of travel, taking into account future opportunities, strategic challenges, and wider global developments.
What are the CBI’s views?
The announcements outlined in the Tech Prosperity Deal are a vote of confidence in the UK’s future and capabilities, with the potential to unlock billions in private investment and create thousands of jobs. At this stage, the direction of travel is positive but businesses will want to see how these headline ambitions translate into delivery on the ground.
- It is particularly encouraging to see AI policy frameworks, adoption, and workforce development alongside the research agenda. These are the harder pieces of the puzzle when it comes to deploying technology at scale, and is a welcome inclusion in this type of international agreement.
- The focus on secure AI infrastructure and common standards reflects our longstanding ask for trusted, interoperable systems.
- An emphasis on AI skills is critical: without inclusive upskilling routes, working people will not be able to reap the benefits from AI-driven growth.
- The UK has already signalled long-term commitments on AI and quantum, so the decision to double down in these area marks a clear, strategic choice. Clarity on the next steps of this delivery will be important for firms.
- The TPD also demonstrates clear pathways from research to market by tying AI to practical applications. Offering real examples of how innovation can drive competitiveness, resilience and jobs will increase business confidence and uptake.
What about the Economic Prosperity Deal and the current state of play on US tariffs?
Read our Economic Prosperity Deal explainer to find out what was announced in May 2025.
As of 18 September 2025, no deal to eliminate tariffs on UK steel exports to the US had been agreed. Tariffs of 25% are currently applied to steel exports to the US, with other countries facing tariffs of 50%.
The CBI is continuing to call on the government to provide businesses with guidance on Rules of Origin, as well as Section 232 measures on products like pharmaceuticals.
Get in touch
Connect with the right CBI policy expert:
- US trade: share your views with Erin Henwood, our International Policy Manager.
- AI: share your views with Shivani Gupta, our Senior Policy Adviser focusing on AI.
- Nuclear and energy: share your views with Tania Kumar, our Director for Net Zero.
- Research and development: share your views with Nicola Eckersley-Waites, our Technology and Innovation Manager.