The US and UK are moving quickly to finalize agreements in nuclear power, artificial intelligence, and whisky exports ahead of US President Donald Trump’s upcoming state visit to London. The visit comes at a sensitive time after the dismissal of British ambassador Lord Peter Mandelson for ties to Jeffrey Epstein, a scandal that has rattled Prime Minister Sir Keir Starmer and raised questions about his leadership, the Financial Times reported.
AI and data centre projects take priority
The highlight of the visit will be the announcement of OpenAI’s plan to bring a UK arm of its $500 billion Stargate data centre project to Blyth, Northumberland. This initiative involves Nvidia and UK data centre operator Nscale, positioning Britain as a player in “sovereign AI.” Nvidia’s Jensen Huang and OpenAI’s Sam Altman will join Trump’s delegation, signalling that technology and digital infrastructure are central to the state visit’s economic agenda.
Nuclear cooperation and Rolls-Royce ambitions
Beyond AI, the two governments plan to expand cooperation on nuclear technologies, including agreements to streamline regulations for small modular reactors (SMRs). This would give UK firms like Rolls-Royce an opening into the American market. Rolls-Royce recently won support to build three mini-reactors in the UK and has ambitions abroad. Deals involving Centrica and US nuclear firm X-energy are also expected, strengthening transatlantic energy security partnerships.
The politics of whisky tariffs
Whisky exports, a politically charged symbol of Scottish industry, will also feature in the discussions. Trump is expected to meet with UK officials on exempting Scotch whisky from a 10 per cent tariff imposed on other British exports. The issue was raised by Scottish First Minister John Swinney and Mandelson before his dismissal. Resolving the tariff dispute would offer Starmer a domestic win and help repair the economic damage caused by trade frictions.
Starmer’s leadership under pressure
For Starmer, the Trump visit is both a challenge and an opportunity. The firing of Mandelson, who once described the US-UK tech partnership as his “personal pride and joy,” risks creating tension with Washington. At the same time, Starmer is keen to frame the visit as proof that his growth strategy is attracting global investment. With Labour MPs questioning his future, the deals unveiled during Trump’s three-day visit may prove politically decisive.
Why this visit matters globally
The agreements highlight how the US and UK are trying to counter China’s lead in emerging technologies. With Nvidia warning earlier this year that Britain lacked the digital infrastructure to compete globally, the investments announced could help close that gap. At the same time, energy and trade agreements emphasize the breadth of the partnership. For Trump, the visit reinforces his transactional approach to diplomacy, tying national security to economic deals that deliver tangible results.
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