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Unlocking the UK’s data centre potential: an enquiry from the Data Centres All Party Parliamentary Group

Background

Demand for data centres is increasing rapidly, driven by advances in artificial intelligence (AI), growing data volumes, and expanding digital services. In August 2025 the number of data centres in the UK was 477 (Data Centres to be expanded across UK as concerns Mount, BBC, 2025), as of the writing of this submission, that number has now reached 568 (United Kingdom Data Centres, Data Centres Map, 2026). These trends are expected to continue, placing further pressure on infrastructure.

This presents an opportunity for the UK to position itself as a global leader in sustainable data centre development. Achieving this will require proportionate and effective regulation, clear guidance to monitor and reduce environmental impacts, and engagement in shaping international standards.

The drive for innovation and the expansion of data centres should not outweigh environmental considerations. A holistic approach is needed, one that not only addresses the impact of data centre operations but also prioritises measures to reduce traffic and minimise the broader environmental footprint of digital infrastructure.

Recommendations

  1. Sustainability Rating: The IET recommends a bronze, silver, gold standard for the approval of new data centres in the UK, based on a sustainability rating. The UK must become not only a global leader in innovation and technology, but a leader in sustainable innovation.
  2. Greener Infrastructure: Current storage models (data centres) are unsustainable without greener infrastructure. Planning for new data centres should extend beyond data centre impacts to include initiatives that reduce data traffic and consequently lower the associated environmental impact.
  3. Systems approach: A holistic view towards development of infrastructure, energy and workforce.