The Critical Need for Data Centre Development in a Digital Age

Written by


James Harris

Published


The exponential growth in digital services, streaming platforms, online banking, and social media has driven unprecedented demand for data centres. The Government recognised the demand for (and value of) data centres by swiftly reclassifying them as Critical National Infrastructure and calling in key data centre applications in Hertfordshire and Buckinghamshire soon after the elections in July. 

The Government’s initiatives have had an impact. US companies have committed an additional £6.3 billion to UK data centre technology and innovation, bringing the total investment in data centres to over £25 billion since Labour took office.  

Savills recently highlighted the need for over 20GW of data centre power capacity in Europe by 2025, translating to the development of over 3,000 new data centres across the continent.  

This surge underscores the critical role data centres continue to play in our daily lives and shows the importance of understanding the equally critical role that political, media, and community stakeholders play in achieving success for data centres through planning and project delivery. The roles of these stakeholders in both the planning process and during operation is vital. 

Environmental, Social, and Governance (ESG) factors are increasingly shaping data centre developments across the UK and Europe. Developers are mandated to deliver a Biodiversity Net Gain (BNG) of at least 10% – with higher percentages being favourably viewed by local politicians and the Planning Inspectorate. Sustainable power and cooling solutions are similarly crucial, especially with the anticipated surge in demand for AI compute power. For example, local authorities expect operators to optimise operational sustainability, such as exploring sustainable liquid cooling as an alternative to air cooling. Furthermore, the integration of renewables like solar and wind is essential for gaining political and public support as well as for long-term operational viability.  

Creating effective community partnerships and focusing on sustainability – for instance by integrating data centres with local district heating systems – can enhance the project’s appeal by providing significant local benefits.  

The recent changes to the National Planning Policy Framework further streamline the development process for prospective data centre applicants, encouraging more investment and development across the UK. Ensuring that commonly misunderstood messages are adapted to educate the public about the role and significance of data centres is crucial for gaining local support and cross-party political buy-in. 

By focusing on sustainability, community engagement, and strategic planning, developers can navigate the complexities of data centre development in a digital age. Together, the industry can build the infrastructure needed to power our digital future. 

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