London Daily

Focus on the big picture.
Wednesday, Jul 29, 2026

In a major snub to Downing Street's Silicon Valley dreams, UK chip giant Arm has dealt a serious blow to the government's economic strategy by opting for a US listing

The move has left officials devastated, as Arm was seen as the jewel in the crown of the UK tech industry.

SoftBank, the company's owner, refused the Prime Minister and Chancellor's pleas for a joint listing in London.

The UK government's recent approach to semiconductors has raised doubts about its cluelessness in semiconductor policy.

With Arm's decision and the jumbled impression of the government's economic strategy, the UK's global tech powerhouse status is at risk of becoming a lame duck.


Details:

Arm, the jewel in the crown of the UK tech industry, has dealt a major blow to Downing Street and the government's promise to turn the UK into a new Silicon Valley. Despite efforts from the Prime Minister and Chancellor to persuade Arm's owner, SoftBank, to seek a joint listing in London, the company has decided to list its shares only in the US.

The government has been promising to turn the UK into a global tech powerhouse, with Arm being its strongest card. However, this decision by SoftBank has left the government devastated, and questions have been raised about the government's recent approach to semiconductors.

The government's semiconductor strategy document has been eagerly awaited, but there are doubts whether it will ever arrive. Its decision to allow a Chinese-backed takeover of the UK's biggest semiconductor manufacturer, Newport Wafer Fab, only to reverse it the following year, has left some wondering if the government is clueless about its semiconductor policy.

In addition, there are questions about the UK's economic strategy, including its response to the US inflation reduction act, one of the biggest industrial strategy policies in the world for decades. The government's policy on the steel sector also appears confusing, with signals sent to steelmakers to shift towards greener alternatives while approving a new coal mine in Cumbria.

While the government has taken a more constructive stance on Brexit, the impression is not of a coherent plan, but a jumble. Some have warned that the government's focus on questionable new technology like cryptocurrency and stripping back post-financial crisis rules for banks may not be the best strategy.

In conclusion, Arm's decision to list its shares only in the US may not be solely due to the government's policy, but it is unlikely to have helped. The government needs to provide a coherent plan for the UK's economic approach to reassure investors and businesses alike.

Newsletter

Related Articles

0:00
0:00
Close
Trump says Israel ‘would not survive’ without US
France Evacuates Atlantic Coast Resorts as Wildfire Risk Rises Again
Magnitude 7.1 Earthquake Strikes Kumamoto as Rescuers Search Collapsed Buildings
OpenAI Faces Demands for Full Disclosure After Models Breach Hugging Face
Nvidia Reportedly Takes Vast Texas Data-Centre Lease to Underwrite AI Expansion
Royal Collection Trust Income Falls as Palace Visits Retreat From Record Highs
FIFA’s Private-Investment Plan for World Cup Rights Draws European Revolt
Ministers Examine Social-Care Levy as Burnham Seeks Funding Settlement
UK Attractions Sector Forecast to Add £587 Million in Visitor Spending
England Coast Path Extends With New Suffolk Estuary Walking Route
Attorney General Wins Longer Jail Term for Fatal Dangerous Driving Case
Andrew and Tristan Tate Remain in U.S. Custody Pending UK Extradition
Royal Fleet Auxiliary Workers Secure Above-Inflation Pay Deal
Prime Minister Seeks Cross-Party Agreement on Social Care Reform
Court Upholds Competition Ruling Against Drugmakers Over Hydrocortisone Prices
UK Unveils Major Technical Education Reform for Secondary Schools
UK Judge Rebukes Home Office Over AI-Generated Errors in Asylum Case
UK and Ukraine Agree to Share Electronic Warfare Technology
Apple Briefly Crosses Five Trillion Dollar Valuation as Investors Retreat From AI Bets
Badenoch Offers Tory Votes to Keep Serious Offenders in Prison
Why Americans Queue for $15 Ice Cream and a $100 Caviar Pint
Another AI Genius Left the United States — and Silicon Valley Is Starting to Worry
Shein Reports $99mn Loss as Trade Barriers Test Low-Cost Model
CXMT Gains 466% in China’s Biggest IPO Since 2010
Amazon Seeks Approval for 5,105-Satellite Mobile Network
Burnham Puts School-to-Work Reform at Centre of Welfare Strategy
Johnson & Johnson Agrees to $5.5 Billion Talc Lawsuit Settlement
EU AI Act Shapes Global Corporate Standards, Study Finds
UK-Japan Relations Expected to Deepen Under Burnham Government
Burnham Signals Tough Decisions on Council Tax Reform
UK Inflation Slows to 2.6% in June
Bank of England Holds Interest Rates at 3.75%
Prime Minister Burnham Opens Talks With Business Leaders on Economic Growth
Government Launches 'Number Ten North' to Drive UK Devolution
Labour Regains Poll Lead After Burnham's First Weeks in Office
Prime Minister Burnham Rules Out Early UK General Election Before 2029
Burnham Rules Out Replacing Council Tax and Stamp Duty
Fresh Heatwave Threatens to Rekindle France’s Historic Wildfire Crisis
The Burnham government is seeking to establish its credibility through ambitious social care reform while maintaining fiscal discipline and public confidence in the National Health Service. Labour's early improvement in opinion polls provides political momentum, but sustained support will depend on delivering tangible policy outcomes. Britain continues to reinforce its role in European security through long-term support for Ukraine, while climate-related risks, including increasingly severe wildfires across England and Scotland, are becoming a more prominent national resilience challenge alongside economic uncertainty.
United Kingdom Economy Remains Exposed to Global Energy Risks
Prime Minister Dismisses Calls for an Early General Election
Scottish Wildfires Continue to Stretch Emergency Services
United Kingdom Faces Rising Wildfire Risk as Heatwave Continues
Lower Oil Prices Ease Inflation Concerns and Support Financial Markets
Financial Conduct Authority Launches Consumer Campaign on Car Finance Compensation
Government Prioritises Employment Over Benefit Cuts in Welfare Reform Plans
Prime Minister Rules Out Sweeping Property Tax Changes Before Autumn Budget
AstraZeneca Beats Expectations as Cancer Medicines Drive Strong Profit Growth
Labour Regains Narrow Polling Lead After Burnham's First Week in Office
United Kingdom Reaffirms Long-Term Commitment to Ukraine Under Burnham Government
×