U.S. and U.K. leaders announced the first steps towards negotiating an agreement, dubbed the Economic Prosperity Deal, between the United States and United Kingdom to address trade concerns. The two countries released the general terms of the framework that will serve as the framework for forthcoming negotiations. The terms include a section dedicated to “Increasing Digital Trade.”
USTR separately released a Fact Sheet that highlighted a goal to secure more agreements on digital trade, including seeking action on the UK’s discriminatory digital services tax. USTR’s fact sheet states: “The United States is disappointed that the UK was unwilling to agree to fully address its discriminatory Digital Services Tax (DST). It is discriminatory, unjustified, and should be removed promptly.”
The following can be attributed to CCIA Vice President for Digital Trade, Jonathan McHale:
“We welcome the inclusion of digital trade provisions to be negotiated as part of the U.S-U.K. Economic Prosperity Deal. Strong rules for digital trade will bolster the complementary strengths of both economies in setting a standard for fair market access and expanding growth and innovation. As recognized by the Administration, eliminating the UK’s digital services tax (DST), which has imposed billions of dollars in unjustified taxes, overwhelmingly from U.S. providers, must be a top priority.“