Written questions by Lopez.

What steps her Department is taking to facilitate public sector access to Artificial Intelligence expertise through procurement; and how the Government Commercial Agency will (a) identify, (b) accredit and (c) engage individuals and organisations that supply Artificial Intelligence expertise.

The Crown Commercial Service (CCS) facilitates public sector access to Artificial Intelligence (AI) expertise primarily through the AI Dynamic Purchasing System (DPS). This agreement provides a flexible route for the public sector to procure AI services from a range of specialist suppliers. CCS manages flexible commercial agreements that regularly engage the market and encourage new suppliers to join. To be admitted, all providers must demonstrate that they meet the required standards and assessment criteria, ensuring high-quality expertise is available across the public sector. Until the Government Commercial Agency is established, these functions will continue to be led by CCS.

Pursuant to the answer of 9 December 2025 to Question 97256, what his planned timeframe is for the further work to finalise underpinning details to be completed.

The UK has secured a zero percent tariff on all pharmaceuticals exported to the US - the lowest rate offered to any country. We have also secured preferential terms for the UK’s medical technology exports for three years, meaning no additional new tariffs on medical technologies.This agreement was supported by the government’s commitment to investing 25% more in new innovative medicines – the first major increase in over two decades – which will support improved access to new medicines for NHS patients.Further work to finalise underpinning details is ongoing. We will share more information when we are able to.

If he will publish the full legal texts establishing the MFN mitigations with the US.

The UK has secured a zero percent tariff on all pharmaceuticals exported to the US - the lowest rate offered to any country. We have also secured preferential terms for the UK’s medical technology exports for three years, meaning no additional new tariffs on medical technologies.This agreement was supported by the government’s commitment to investing 25% more in new innovative medicines – the first major increase in over two decades – which will support improved access to new medicines for NHS patients.Further work to finalise underpinning details is ongoing. We will share more information when we are able to.

Pursuant to the answer of 10 December 2025 to Question 97685, whether any additional commitments have been made by the UK in relation to UK-US agreement on pharmaceutical in addition to the increased spending on innovative medicines and the cap on VPAG rates.

The UK has secured a zero percent tariff on all pharmaceuticals exported to the US - the lowest rate offered to any country. We have also secured preferential terms for the UK’s medical technology exports for three years, meaning no additional new tariffs on medical technologies.This agreement was supported by the government’s commitment to investing 25% more in new innovative medicines – the first major increase in over two decades – which will support improved access to new medicines for NHS patients.Further work to finalise underpinning details is ongoing. We will share more information when we are able to.

Whether the UK is (a) excluded from, (b) partially exempted from and (c) otherwise subject to special treatment under the United States’ Most Favoured Nation drug pricing policy.

Thanks to strong United Kingdom support for innovation, the UK has secured mitigations under the United States’ ‘Most Favoured Nation’ drug pricing initiative so that we will continue to ensure access to the latest treatments. This will encourage pharmaceutical companies from around the world to prioritise the UK for early launches of their new medicines, meaning British patients could be among the first globally to access breakthrough treatments.

Innovation and Technology, whether it is still her Department’s policy to finalise s61-64 of the Product Security and Telecommunications Infrastructure Act 2022, relating to renewal agreements, by the end of 2025.

As per the commitment made in the Written Ministerial Statement on 21 July 2025, on 15 December 2025 the Department made regulations implementing Sections 61 – 64 of the Product Security and Telecommunications Infrastructure Act 2022 and published its response to the consultation which ran earlier this year.The regulations will come into force on 7 April 2026.

Innovation and Technology, when she plans to publish her Department's response to the consultation entitled Draft regulations to commence Sections 61 to 64 of the Product Security and Telecommunications Infrastructure Act 2022, which was published on 7 May 2025.

As per the commitment made in the Written Ministerial Statement on 21 July 2025, on 15 December 2025 the Department made regulations implementing Sections 61 – 64 of the Product Security and Telecommunications Infrastructure Act 2022 and published its response to the consultation which ran earlier this year.The regulations will come into force on 7 April 2026.

With reference to the US Trade Representative's press release entitled U.S. Government Announces Agreement in Principle with the United Kingdom on Pharmaceutical Pricing, published on 1 December 2025, what the other commitments referred to are.

As set out by the Secretary of State in his written statement to Parliament on 2 December, we have secured a zero percent tariff on all pharmaceuticals exported to the US - the lowest rate offered to any country. The UK has also secured preferential terms for the UK’s medical technology exports for three years, meaning no additional new tariffs on medical technologies.This agreement was supported by the government’s commitment to investing 25% more in new innovative medicines – the first major increase in over two decades – which will support improved access to new medicines for NHS patients.

What mechanisms within the UK-US Economic Prosperity Deal will ensure that pharmaceutical products launched in the UK with a lower price than in the US will not trigger Most Favoured Nation rebates.

We have secured the first and only deal with the US that delivers zero percent tariffs on pharmaceutical products – the lowest rate offered to any country. It delivers mitigations on the US’ ‘Most Favoured Nation’ policy and preferential terms for UK medtech exports – helping expand access to innovative treatments for patients and driving crucial investment in the UK. The UK and the US have confirmed the headline terms of this deal. Further work to finalise underpinning details is ongoing.

Whether the capped VPAG rate referred to in the UK-US Economic Prosperity Deal will only apply to pharmaceutical products of US origin.

The capped rate applies to all newer medicines, not just pharmaceutical products originating from the United States.

Which Department is responsible for monitoring of pharmaceutical provisions within the UK-US Economic Prosperity Deal; and whether he plans to update Parliament on those provisions.

DBT Secretary of State made a written statement to Parliament on 2 December.This deal is the first and only agreement with the US that secures zero percent tariffs on pharmaceutical products – the lowest rate offered to any country. It delivers mitigations on the US’ ‘Most Favoured Nation’ policy and preferential terms for UK medtech exports – helping expand access to innovative treatments for patients and driving crucial investment in the UK.The Department for Business and Trade remains the lead department for EPD negotiations.There will be further work to finalise underpinning details.

What the mitigations are under the US Most Favoured Nation drug pricing initiative as referred to in the UK-US Economic Prosperity Deal.

The US has committed to ensuring that access to medicines and launches of new innovative medicines in the UK are not inadvertently impacted by the US’s ‘Most Favoured Nation’ policy, thereby reducing the risk to the UK where the NHS has managed to secure lower prices for medicines.Further work to finalise underpinning details is ongoing.

What legal instrument establishes Most Favoured Nation mitigations in the deal with the US on pharmaceuticals.

We have secured the first and only deal with the US that delivers zero percent tariffs on pharmaceutical products – the lowest rate offered to any country.It delivers mitigations on the US’ ‘Most Favoured Nation’ policy and preferential terms for UK medtech exports – helping expand access to innovative treatments for patients and driving crucial investment in the UK.The UK and the US have confirmed the headline terms of this deal. Further work to finalise underpinning details is ongoing.

What assessment he has made of the potential impact of the 25% net increase in prices for new medicines and the 15% VPAG repayment cap on annual NHS medicines spend.

Every patient deserves access to the best possible treatment. This deal is a vital investment that builds on the strength of our National Health Service and world leading life sciences sector.Costs will start smaller but will increase over time as the National Institute for Health and Care Excellence (NICE) approves more life improving and lifesaving medicines. Total costs over the Spending Review period are expected to be approximately £1 billion. However, the final costs will clearly depend on which medicines NICE decides to approve and the actual uptake of these. This is not something that we can pre-empt at this time as it depends on which drugs come to market, and which are assessed as approved for use on the NHS accordingly.At the Spending Review we delivered a record real terms increase for day-to-day spending for the NHS in England up to April 2029. This deal will be funded by allocations made at the Spending Review, where front line services will remain protected through the record funding secured.Future year funding will be settled at the next Spending Review.

From which Department’s budget the additional NHS medicines spend following the UK-US Economic Prosperity Deal will be funded.

Every patient deserves access to the best possible treatment. This deal is a vital investment that builds on the strength of our National Health Service and world leading life sciences sector.Costs will start smaller but will increase over time as the National Institute for Health and Care Excellence (NICE) approves more life improving and lifesaving medicines. Total costs over the Spending Review period are expected to be approximately £1 billion. However, the final costs will clearly depend on which medicines NICE decides to approve and the actual uptake of these. This is not something that we can pre-empt at this time as it depends on which drugs come to market, and which are assessed as approved for use on the NHS accordingly.At the Spending Review we delivered a record real terms increase for day-to-day spending for the NHS in England up to April 2029. This deal will be funded by allocations made at the Spending Review, where front line services will remain protected through the record funding secured.Future year funding will be settled at the next Spending Review.

What steps his Department is taking to increase interoperability and competitiveness in the domestic cloud market following recent widespread outages caused by dominant providers in the industry.

In July 2025, the Competition and Markets Authority (CMA) published its final report on the UK cloud market. The key recommendation was for the CMA Board to prioritise commencing investigations under the digital markets regime and to consider designating the two largest providers —Microsoft and AWS — with strategic market status in relation to cloud services. The CMA is independent of Government and any decisions on initiating strategic market status investigations are for the CMA Board.

What estimate her Department has made of the cost to the economy of recent outages of large-scale cloud providers.

I refer the member to the answer given to UIN 92928 on 24 November 2025.

Innovation and Technology, what assessment her Department has made of the level of systemic risk from reliance on two dominant cloud providers following recent outages.

I refer the honourable member to the answer given on 24 November to UIN 92927. The Department for Science, Innovation and Technology (DSIT) continues to monitor systemic risks to UK critical national infrastructure from reliance on cloud providers, including resilience measures and contingency planning following recent service outages.

Innovation and Technology, what steps she is taking to help ease restrictive licensing practices in relation to software by large cloud providers to ensure that there is fair and open competition in the sector.

The Government is committed to supporting a competitive and innovative digital economy. This is why we prioritised the commencement and implementation of the Competition and Markets Authority’s (the CMA) new powers in digital markets. The CMA is independent of Government, and any decisions on which markets it next investigates is for their Board.

Innovation and Technology, what steps her Department is taking to help accelerate the process to designate cloud services with Digital Market Unit's Strategic Market Status to prevent anti-competitive practices in the sector.

The Competition and Markets Authority (the CMA) has completed three Strategic Market Status investigations this year. The CMA is independent of the Government and decisions on which markets to investigate are for its Board. The CMA has published guidance on its website on how it will prioritise Strategic Market Status designations.