The UK wants to establish itself as a global AI leader, but that ambition depends on more than software and investment. Realising it will depend on whether the UK’s data centre infrastructure can keep pace with rapidly growing demand.
Although largely out of sight, data centres underpin our everyday life, says Bron Gondwana, CEO of Fastmail. “They don’t just power the latest AI tools or store our photos and emails. They support the systems that help get us through train stations and airports, keep logistics networks moving and enable critical public services to operate.”
As demand rises, the UK must address three connected challenges: expanding capacity sustainably, securing the equipment needed to build it and developing the workforce capable of operating it.
The scale challenge
Power availability is one of the biggest constraints on the expansion of UK data centre capacity. Mark Skelton, Chief Technology Officer at Node4, estimates that data centres already consume around 2% of the country’s power and warns that unchecked growth could push this as high as 10–15
“The rapid expansion of compute capacity, data centres and digital infrastructure brings real environmental implications,” he explains. “Without clear guardrails and coordinated oversight, we risk solving one productivity challenge while creating a long-term energy problem.
But how can the next generation of infrastructure be delivered without placing unsustainable strain on energy resources?
“This is where government leadership matters,” Skelton advises. “Investment in AI must sit alongside investment in sustainable energy, grid modernisation and efficiency standards. Growth at any cost is not a strategy. Sustainable growth, underpinned by infrastructure and governance, is.”
“Innovation is happening across the entire data centre stack,” adds Terry Storrar, Managing Director at Leaseweb UK. “From significant investment in new cooling technologies, such as liquid, direct-to-chip systems and fully liquid-cooled racks, to advanced analytics and AI-driven monitoring tools, there is no shortage of innovation focused on optimising energy consumption and improving operational efficiency.
“The industry still has a long way to go to effectively balance power demand with environmental responsibilities, but progress is being made. Through renewable energy partnerships, efficiency standards and transparent reporting, operators are prioritising long-term investment that helps give organisations greater choice over where and how their infrastructure is delivered while maintaining accountability for its environmental impact>”
“Advances in chip design, NVMe storage and hyperconverged infrastructure mean that capabilities once associated with a traditional server room can now be delivered in a much smaller footprint,” furthers Mark Christie, Field CTO at StorMagic. “This shift towards more compact, flexible infrastructure gives organisations greater control over where their workloads are processed and how resources are used.
“By keeping sensitive or business-critical applications within a local data centre environment, while using public cloud facilities where appropriate, SMEs can strengthen their resilience and meet data residency requirements without maintaining a large physical footprint.”
The data centre challenge is no longer just about finding enough compute capacity. Skip Levens, Quantum’s Product Marketer and AI Strategist, the LTO Program, weighs in: “Organisations also need to consider how they will store the enormous volumes of data that AI creates and depends on, without placing unnecessary pressure on power, budgets and physical infrastructure.
“Not every dataset needs to sit on always-on, high-performance storage throughout its lifecycle. A more sustainable approach is to match data to the appropriate storage tier based on how frequently and quickly it needs to be accessed. For large volumes of data that must be retained but are accessed less frequently, LTO tape is a highly energy-efficient and cost-effective capacity tier, while allowing that data to be brought back into higher-performance environments when required
“As the UK looks to expand its digital infrastructure and support its AI ambitions, storage needs to be considered as part of the data centre capacity and sustainability equation from the outset.”
The supply chain behind the AI boom
Even if the UK can secure the power and designs it needs, every new facility still depends on a complex equipment pipeline. The International Energy Agency has warned that shortages of essential equipment are constraining near-term data centre growth
“Building a new data centre requires everything from electrical and cooling equipment to networking technology and computing hardware,” explains Puneet Saxena, Corporate Vice President, Manufacturing Industry Strategy at Blue Yonder. “As countries pursue AI infrastructure programmes simultaneously, competition for these inputs could push up costs, lengthen delivery schedules and slow the addition of new computing capacity.”
“As demand intensifies, developers need a clearer picture of equipment availability across their projects and procurement pipelines,” he adds. “AI can help developers anticipate shifts in supply and demand and make earlier procurement decisions.”
“Technology alone, however, will not address the challenge. Broadening the supplier base and developing the skills required to construct and operate increasingly complex facilities will also matter.”
Building the skills behind the infrastructure
As demand for AI and digital services grows, much of the conversation is understandably focused on whether we have enough data centre capacity to support it. “But building more infrastructure is only half the challenge,” continues Fastmail’s Gondwana. “We also need people with the skills and experience to keep it running reliably.”
“At Fastmail, we’ve deliberately kept this expertise in-house. Our Platform team manages the servers and networks our email runs on and is the first responder when incidents occur. When we recently expanded our infrastructure into Europe, our own engineers installed the servers in Amsterdam and continue to manage that infrastructure directly.
“As the UK invests in the infrastructure needed to support its digital and AI ambitions, we need to invest just as seriously in the people who will operate it.”
The expansion of the data centre industry is essential to support the UK’s evolving digital ambitions, but skills shortages are already threatening progress, warns Mike Slevin, Director of EMEA Market at Fluke Corporation. “The explosive growth of AI has made data centres the second most in-demand construction sector in the UK, yet it is struggling to access the people needed to deliver this critical infrastructure.”
“In the UK, the skills deficit is particularly severe across specialist electrical, mechanical and plumbing trades, with every UK industry respondent citing shortages of qualified workers in these areas,” Slevin adds. “From an electrical perspective it is especially critical, as the demand comes from both the data centre construction as well as the grid upgrades needed to support it.
“Organisations throughout the data centre industry must do more to show young people that it offers rewarding, long-term careers, highlighting the breadth of roles available through school visits, site tours, work experience and even social media,” Slevin concludes. “Apprenticeships and structured development can build the expertise needed for the future. If the UK wants to strengthen its data centre capacity, it must invest in potential now.”
Keeping pace with the AI boom will require the UK to treat data centres as a national infrastructure priority, aligning investment in capacity with the energy, equipment and skills needed to deliver it sustainably. Without that coordinated approach, its ambitions for AI leadership risk outpacing the infrastructure on which they depend.
