The UK government announced that four U.S. companies — ServiceNow, CyrusOne, CloudHQ, and CoreWeave — will invest a combined £6.3 billion ($8.2 billion) in Britain’s data centers.
The U.K. data center market will grow at a 2.4 percent CAGR to reach $9.324 billion in 2030 from $7.921 billion in 2023.
The major investment is expected to boost the country’s digital infrastructure, a critical area as demand for cloud computing and digital services continues to rise.
The UK government said the investment in UK data centres is critical to enhancing the UK’s AI capacity – in turn fuelling Britain’s economic growth and spurring on AI development.
The announcement coincides with a significant investment summit hosted by British Prime Minister Keir Starmer in London, where global business leaders gathered to discuss future opportunities in the UK market. The summit aims to attract foreign investment and reinforce Britain’s position as a global tech hub, particularly in areas like data management and cloud technology.
Last month, Amazon Web Services announced an £8 billion investment which is estimated to support around 14,000 jobs per year at local businesses.
CyrusOne, a leading global data centre developer headquartered in the United States, plans to expand their investment into the UK to £2.5 billion over the coming years. Its two data centres will be operational by Q4 2028, creating over 1,000 jobs.
CloudHQ is developing its new £1.9 billion data centre campus in Didcot. The hyper-scale data centre is currently in development and will help meet the UK’s growing demand for AI and machine learning. It will create 1,500 jobs during construction, and 100 permanent jobs once fully operational.
ServiceNow plans to invest £1.15 billion into its UK business over the next five years. The investment will support the future development of AI in the UK, expanding its data centres with Nvidia GPUs for local processing data. ServiceNow will significantly grow into employee base beyond its current headcount of 1,000 employees.
CoreWeave is building on its £1 billion investment announced in May and the opening of its European headquarters in London by investing a further £750 million-plus in the UK to support the demand for critical AI infrastructure. The investment in the UK is CoreWeave’s second largest investment in a country following the USA.
These investments are expected to help modernize the UK’s digital backbone, support growing businesses, and create high-tech jobs across the country. As the tech industry continues to expand, this move also underscores the government’s commitment to fostering innovation and building strong ties with global companies.
UK Government – at the International Investment Summit – said it will be receiving total investment of £63 billion creating nearly 38,000 UK jobs.
Baburajan Kizhakedath
