Europe witnessed a series of significant political, economic, and market developments this week, ranging from transatlantic trade and technology deals to shifts within the UK’s political landscape.
The United States and Britain are preparing to unveil major agreements in energy and digital innovation during President Donald Trump’s state visit, while domestic politics saw Conservative MP Danny Kruger defect to Reform UK.
In financial markets, the London Stock Exchange launched a blockchain-based platform, Sainsbury shares surged on the back of corporate decisions, and Prime Minister Keir Starmer faced the resignation of a senior aide.
US and UK set to announce major deals
The United States and Britain are preparing to unveil significant agreements in technology, energy, and trade during US President Donald Trump’s state visit this week.
Prime Minister Keir Starmer aims to finalise tariff reductions for steel and aluminium, while announcing multi-billion-pound partnerships in civil nuclear energy and technology.
Over £1.25 billion in new US investment commitments have already been confirmed, with additional pledges expected from major firms.
A key highlight will be a “world-leading tech partnership” featuring Nvidia and OpenAI, making new UK investments, complementing earlier commitments by PayPal and Bank of America.
On energy, both countries will commit to joint civil nuclear projects, including small modular reactors expected to help power data centres as artificial intelligence adoption accelerates.
Conservative MP Danny Kruger defects to Reform UK
Conservative MP Danny Kruger has defected to Reform UK, becoming the first sitting Tory to join the right-wing populist party led by Nigel Farage.
The move raises Reform’s parliamentary presence to five MPs and increases pressure on Conservative leader Kemi Badenoch ahead of her first party conference as leader.
Kruger, who represents East Wiltshire, will serve as Reform’s head of “Preparing for Government.”
He framed his decision as a matter of principle, saying the Conservatives had “lost their way” on key issues such as immigration, sovereignty, and the cost of living.
Farage hailed the defection as a significant milestone, highlighting growing momentum for his party, which has gained ground primarily through defections rather than electoral victories.
London Stock Exchange launches Blockchain platform
The London Stock Exchange Group (LSEG) has completed its first blockchain-based fundraising with the launch of its new Digital Markets Infrastructure (DMI) platform.
This marks the first time a major stock exchange has rolled out blockchain-powered infrastructure tailored for private markets.
The DMI platform is designed to support the full asset lifecycle, from issuance and tokenisation to post-trade settlement and servicing.
Its initial focus is private funds, with plans to expand into other asset classes in the future.
As part of its debut transaction, US-based MembersCap conducted a primary fundraise using the DMI, with regulated crypto exchange Archax acting as nominee for the Cardano Foundation.
Sainsbury shares jump after ending Argos talks
Shares in Sainsbury surged to a four-year high on Monday after the supermarket group abruptly ended talks to sell its Argos chain to Chinese e-commerce giant JD.com.
The stock rose more than 4%.
The rally followed a weekend of shifting announcements.
On Saturday, Sainsbury’s confirmed discussions with JD.com, citing the potential for accelerating Argos’ digital transformation.
However, by Sunday evening, the company terminated negotiations, citing unfavourable revised terms.
Starmer’s strategy chief resigns
Prime Minister Keir Starmer faced further political turbulence after Paul Ovenden, his director of political strategy, resigned amid media allegations about past conduct.
Ovenden stepped down on Monday as ITV News prepared to publish WhatsApp messages he sent in 2017, containing inappropriate jokes about Labour MP Diane Abbott.
In a statement, Ovenden said he regretted the messages, claimed his account had been hacked, and stressed the conversation occurred eight years ago.
He said he did not want to distract from the government’s work and clarified that neither the prime minister nor other government colleagues were aware of the messages.
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