The Hertsmere Borough Council has approved plans for a groundbreaking £3.75 billion ($4.6 billion) data centre campus in Hertfordshire. Proposed by DC01UK, this facility is set to become Europe’s largest cloud and artificial intelligence (AI) data centre.
First introduced in September, the DC01UK data centre is designed to address the growing demand for cloud and AI services in the UK, all while meeting high sustainability standards. The campus will span two million square feet and will be powered by 400MVA from the National Grid. Its location, close to key fibre optic routes and availability zones, makes it an ideal hub for digital infrastructure.
Once completed, the facility is expected to contribute £1.1 billion ($1.3 billion) annually to the UK economy and generate £21.4 million ($26.5 million) in local business rates. The construction phase alone will create 500 skilled jobs, with an additional 200 permanent roles and nearly 14,000 indirect jobs once the centre is operational.
In addition to its focus on technological innovation, the project also emphasizes community and environmental benefits. Over half of the site will remain as green space, contributing to a 10% net gain in biodiversity. The plan includes enhancements to public transport, with expanded bus routes and cycle paths, as well as a £2 million ($2.4 million) investment in local amenities.
DC01UK is committed to ensuring the project benefits the local area. A company spokesperson noted, “From job creation to improving transport links, our goal is to make Hertfordshire a hub for innovation and sustainable growth.”
However, the development has raised concerns, especially due to its location in the Green Belt, an area meant to protect farmland, wildlife habitats, and scenic landscapes. Some local residents worry about the disruption caused by construction and the long-term impact on the landscape.
Despite these concerns, Sir Chris Bryant MP, Minister for Telecoms, has voiced support for the project. “Facilities like DC01UK will not only play a key role in advancing AI technology but will also drive economic growth and create jobs,” he said.
This project highlights the UK’s broader digital transformation goals. As demand for data storage and AI capabilities rises, the Government has pledged to simplify planning laws for digital infrastructure to help projects like DC01UK move forward.
Set to break ground in 2027 and open by 2029, the data centre aims to make Hertsmere a leading tech hub in the UK. It also reflects the UK’s ambition to remain competitive in Europe’s digital economy, especially as demand for cloud services and AI infrastructure grows.
The approval of the DC01UK facility underscores the increasing need for AI-ready data centres. According to a McKinsey report, global demand for data centre capacity is expected to grow by up to 22% annually from 2023 to 2030. Without addressing this surge in demand, a supply deficit could occur, making large-scale developments like DC01UK crucial to meeting the need.
