UK Government Designates Data Centres Critical National Infrastructure

“Kao Data is delighted to see the Government’s announcement naming data centres as critical national infrastructure, fulfilling a pledge made in the 2024 Labour manifesto. 

Comments by Doug Loewe, CEO, Kao Data.

This announcement comes at a crucial inflection point for the sector, with demand for data centres rising significantly due to the growth of AI. It signals the UK’s commitment to building sustainable infrastructure fit for an AI-driven future.

Kao Data believes data centres can play a key role in regenerating former industrial sites, contributing to economic renewal without the need to relax planning permissions or build on greenbelt land. 

Today’s announcement recognises the significant opportunities that new data centres can bring to the UK economy, but this should be viewed as just the first step. We look forward to working closely with the Government and industry peers to develop a comprehensive, joined up UK data centre and energy strategy.

The Government’s move highlights the growing importance of data centres to the UK economy. Kao Data will soon break ground on a new data centre in Stockport, Greater Manchester. Designed specifically for AI, this project represents an inward investment of £350 million into the region and is expected to boost Stockport’s local economy by £155 million during its construction, according to an independent report from Nicol Economics.

Further, this will be the largest data centre in the North of England, not only rebalancing the UK’s data centre cluster away from London and the South East but also reinforcing the UK’s position as a global leader in AI and data centre capacity.” 

(News linked here)