Best locations in the United Kingdom for Data Centres

London is the unrivalled leader in the United Kingdom when it comes to investment in data centres. However, which other regions prove popular?

A recent study has indicated that the United Kingdom’s data centres are undergoing rapid expansion due to the growth of the AI, 5G, and Internet of Things industries. Consequently, there is an immediate necessity to identify new sites and locations, as well as acquire skilled labour, in order to fulfill the projected demands of digital infrastructure.

Investment Monitor has examined the primary areas for UK data centres, as determined by foreign direct investors. GlobalData reports show that between 2019 and 2022, a total of 1565 new data centres were established globally through foreign investment. Out of these, 3.5% were located in the UK, indicating a substantial portion that showcases the country’s strong digital demand and thriving industry.

The UK secured a position in the top ten global destinations for foreign investments in data centres, as highlighted in Investment Monitor’s 2020 Data Centre Ranking.

Theoretically, a data centre can be built anywhere with power and connectivity, however, location can have a huge impact on the quality of service that the facility is able to provide. Here are a few of the UK’s top Data Centre hotspots:

1. London- The city’s primary factors for growth are its close proximity to digital enterprises and efficient transportation connections, along with the presence of top-notch educational institutions. These factors provide data centres with convenient access to highly skilled graduates, which is a significant advantage considering the rapid expansion of the industry.
2. Birmingham & Manchester- Birmingham and Manchester house more data centres than any other city outside of London. Birmingham is well positioned to offer routes both North and South in the UK. Manchester is one of Europe’s fastest-growing business centres for technology and media.
3. Newcastle- Newcastle is one of three areas outside the UK’s capital that has reached double figures where data centre construction is concerned. It is perfectly positioned to provide a gateway to the North East.