UK AI Growth Zones Announcement

The UK Government has unveiled its AI Opportunities Action Plan on Monday. The plan, which takes forward all 50 of Matt Clifford's recommendations, introduces 'AI Growth Zones' (AIGZs) to accelerate AI data centre development through streamlined planning processes and clean power provisioning. It has been stated that £14 billion and 13,250 jobs have been committed by leading tech firms following the AI Action Plan.

The Government announced it will deliver the first AI Growth Zone at Culham in Oxfordshire, which hosts the HQ of the UK Atomic Energy Authority by means of a public-private partnership. If successful, the site would host one of the UK’s largest AI data centres, beginning with 100MW of capacity with the ambition to scale to 500MW. Further information of this AIGZ is expected in the coming months.

By Spring 2025, the Government will set out a process to identify and select further AIGZs and will also consider energy requirements by working with the National Energy System Operator. Further announcements are expected focusing on locating AIGZs in de-industrialised areas which have access to power and strong support from local government.

Alongside this, the Government may also consider other recommendations to develop data centres including providing central guidance, the creation of a bespoke planning use-class and potential relief schemes AI data centres.

More detail on AIGZs and how data centre development will be prioritised is anticipated in the upcoming Planning and Infrastructure Bill (expected March 2025), and the Government’s Industrial Strategy (expected Spring 2025) and emerging Local Growth Plans. Further detail is also expected in the Government’s long-term compute strategy to be published in Spring this year. The Government could also produce planning guidance to support new data centre development.

1. Laying the foundations for AI to flourish in the UK

2. Boosting adoption across public and private sectors

3. Keeping us ahead of the pack

    

Each of these pillars signal the Government’s ambition to see AI adopted in everyday life across public and private sectors, enable world-class research and development, and produce higher economic growth. All of which will require greater data centre and energy capacity.   

JLL benefit from a wealth of experience in respect to data centres. JLL offer a 'cradle to grave' service including site finding, site selection, planning, advisory, transactions, and facilities management. To discuss any of the matters discussed above or any other planning matter, please contact the team.