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The UK needs a strategy to meet growing demand for data centres or risk losing its advantage in the race to develop artificial intelligence (AI), one of the sector’s largest players has told Sky News.

Data centres – warehouses housing processors that power cloud computing – are central to the digital economy. They provide the power, connections and security required for the vast amount of processing power on which everything from personal device browsing to AI learning relies.

The UK is currently Europe’s largest data hub, with more than 500 data centres, the majority in the South East.

Slough in west London is the industry’s historic base, largely because of its proximity to both transatlantic connectors and the City of London, whose financial services and banks were initially the biggest customers for computation power.

Last month the government classified data centres as ‘critical national infrastructure’, putting them on a par with power stations and railways but the industry says a broader strategy is required as it moves to meet the growing demand driven by power-hungry AI chips.

High land prices, competition for grid connections and the resistance of local residents have put a premium on further expansion in the southeast, leading some companies to look beyond the industry’s traditional base.

Kao Data, which has an expanding campus in Harlow, Essex, is among those looking to beyond the South East, and broke ground this week on a £350m development at Stockport in Greater Manchester.

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Spencer Lamb, Kao’s chief commercial officer, said the UK industry is at a turning point.

Kao Data's site in Harlow
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Spencer Lamb is shown talking to Sky News

“We are under pressure to be able to provide capacity and create data centre buildings to fuel the demand from AI, that’s the challenge. Whether we as a country provide the environment for it is the big question mark,” he said.

“If we want to be part of the global AI opportunity we need to deploy these resources in locations that are suitable, sustainable and have the opportunity for growth. We didn’t really have a plan 10 years ago when cloud computing started, and by accident we’ve ended up where we are today which is in effect consuming all the power into the west of London.

“Now is the time to come up with a UK-wide data centre strategy and start deploying these facilities in other parts of the country, distributing them fairly.”

Kao’s expansion in Manchester exploits an existing industrial site – it will replace a concrete factory – and the availability of a grid connection, fundamental in a notoriously power-hungry industry in which a facility’s size is measured in megawatts not square feet. A 100MW data centre consumes the same amount of electricity as 100,000 homes, a town roughly the size of Ipswich.

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Mr Lamb said it is a model the government should heed. “A realistic opportunity would be to allocate two or three locations across the UK which have access to power as data centre planning zones, where the local authorities understand what a data centre is, are welcoming and we can develop these buildings simply and swiftly and remove a lot of the bureaucracy that exists.”

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The Stockport site also has the backing of the mayor of Greater Manchester, Andy Burnham, who sees data as part of the jigsaw of infrastructure required to boost economic development in the North West.

“This is now critical national infrastructure as designated by the new government, and it makes sense that all of that capacity is not just clustered in one part of the country. We now need to see the emergence of a large-scale data centre industry in the north of England,” Mr Lamb said.

The challenge of further expansion in the South East is evident on the outskirts of the expanding village of Abbotts Langley in Hertfordshire, where a patch of green belt has become a frontline in the debate over data centres and the new government’s commitment to growth.

The proposed site for the data centre in Abbots Langley
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The proposed site for the data centre in Abbotts Langley

The 31-hectare plot, once grazed by cows that produced milk for the nearby Ovaltine factory, has been bought by property developer Greystoke Land and earmarked for a data centre.

The local planning authority, Three Rivers Council, rejected it because of the loss of green belt, but on her first day in office, Angela Rayner, the housing minister, “called in” the application, beginning a process expected to end with her over-ruling the local authority.

Labour promised to back development in government but that does not make it popular. As well as concerns over the environmental impact of a data centre, residents believe the development will remove the only buffer between the village and the motorway.

Stephen Giles-Medhurst, Liberal Democrat leader of Three Rivers Council, 76% of which is made up of green belt, told Sky News communities need something in return.

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“I’m not a total nimby, I can see which way the wind is blowing, but we will make the best case possible to say no to this development because it is an inappropriate site, which causes very high harm to the green belt.

“Ironically we do have some brownfield sites that landowners won’t release, and we can’t compulsory purchase, let’s do something about that and bring them back into public ownership.

“But if at the end of the day we’re overruled then we will be demanding the infrastructure that’s for Abbots Langley and Three Rivers.”

A Ministry for Housing, Communities and Local Government spokesperson said: “Our reforms to the planning system will make it easier to build the key infrastructure this country needs – such as data centres – securing our economic future and giving businesses the confidence to invest.

“Development on the green belt will only be allowed where there is a real need and will not come at the expense of the environment.”

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Police officer punched in face as masked protesters with children march through Canary Wharf shopping centre

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Police officer punched in face as masked protesters with children march through Canary Wharf shopping centre

A group of masked protesters became “aggressive” towards police at Canary Wharf shopping centre after an anti-asylum demonstration, police say.

A group of people entered the shopping centre around 4.30pm and a “small number of masked protesters” then became aggressive towards members of the public and police, the Metropolitan Police said in a statement.

Police issued an order to “prevent people concealing their identity with masks” and a dispersal order was also put in place.

Video seen on social media showed young children among the protesters, with some of them wearing England flags.

Officers said: “We are aware there are young children in the protest area and while we deal with any criminality our officers are ensuring the safety of them is paramount.”

Police said four people were arrested on Sunday afternoon during the protests, including for common assault by a protester on a member of the public, possession of class A and B drugs, assault on police/public order offences and failure to disperse.

“One of our officers was punched in the face – luckily they did not suffer significant injury,” a spokesperson said.

Commander Adam Slonecki, in charge of policing London this weekend, said: “We had plenty of officers on the ground who moved in swiftly to deal with the criminality that occurred inside and outside the shopping centre. We will not tolerate this kind of behaviour.

“Today’s protest saw many community members attend, including women and children, and we worked to ensure the safety of those there to peacefully represent their views. Those who arrive at protests masked and intent on causing trouble will continue to be dealt with robustly at future protests.”

People protest outside the Britannia International Hotel in Canary Wharf. Pic: PA
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People protest outside the Britannia International Hotel in Canary Wharf. Pic: PA

Counter-protesters also assembled outside the Britannia International Hotel. Pic: PA
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Counter-protesters also assembled outside the Britannia International Hotel. Pic: PA

Read more:
PM promises small boat migrants will be ‘detained and sent back’
Reform deputy leader disagrees with archbishop

Protesters from both sides of the divide over the UK’s immigration policies gathered outside the Britannia Hotel in Canary Wharf on Sunday afternoon.

Around a dozen anti-immigration protesters were joined by about 100 counter-protesters holding banners saying “stand up to racism” and “stop the far right” on the other side of the road.

Demonstrators then left the hotel location – kept apart by police.

Sunday’s events in east London follow an incident in West Drayton, west London, on Saturday when a group of masked men were among those who attempted to enter a hotel housing asylum seekers.

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Reform deputy attacks govt for ‘protecting rights’ of illegal migrants – and fires back at Archbishop of York

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Reform deputy attacks govt for 'protecting rights' of illegal migrants - and fires back at Archbishop of York

Reform UK has hit back at both the Archbishop of York and the government following criticism of its immigration policies.

Leader Nigel Farage announced the party’s flagship immigration plan during a flashy news conference held at an aircraft hangar in Oxford on Tuesday.

The party pledged to deport anybody who comes to the UK illegally, regardless of whether they might come to harm, and said it would pay countries with questionable human rights records – such as Afghanistan – to take people back.

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It also said it would leave numerous international agreements, and revoke the Human Rights Act, in order to do this.

The policy was criticised by the Conservatives, who said Mr Farage was “copying our homework”, while parties such as the Liberal Democrats and the Greens condemned it.

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Archbishop Stephen Cottrell and Richard Tice MP. Pics: PA
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Archbishop Stephen Cottrell and Richard Tice MP. Pics: PA

But the plan came under fire from an altogether different angle on Saturday, when the Archbishop of York accused it of being an “isolationist, short-term kneejerk” approach, with no “long-term solutions”.

Stephen Cottrell, who is the acting head of the Church of England, told Sunday Morning With Trevor Phillips that he had “every sympathy” with those who find the issue of immigration tricky. But he said Reform UK’s plan does “nothing to address the issue of what brings people to this country”, and would in fact, make “the problem worse”.

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In full: Richard Tice on Sunday Morning With Trevor Phillips

Speaking on the same programme, Richard Tice, Reform’s deputy leader, responded to the archbishop’s criticisms, saying that “all of it is wrong”.

The MP for Boston and Skegness said he was a Christian who “enjoys” the church – but that the “role of the archbishop is not actually to interfere with international migration policies”.

Mr Tice then turned his fire on the government, accusing ministers of being “more interested in protecting the rights of people who’ve come here illegally… than looking after the rights of British citizens”.

He accused ministers of having “abandoned” their duty of “looking after the interests of British citizens”.

Mr Tice reaffirmed his party’s policy that the UK should leave the European Convention on Human Rights (ECHR), calling it a “70-year-old, out-of-date, unfit-for-purpose agreement”.

The Reform UK deputy leader also:

• Defended plans to pay the Taliban to take migrants back, comparing it to doing business deals with “people you don’t like”

• Said the Royal Navy should be deployed in the English Channel as a “deterrent”, but added: “We’re not saying sink the boats”

• Urged the government to call an early general election

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Farage ‘wants to provoke anger’

Meanwhile, Bridget Phillipson, the education secretary, told Sky News that Reform “want to provoke anger, but they don’t actually want to solve the problems that we face in front of us”.

She told Sunday Morning With Trevor Phillips the UK had a “proud tradition [of] supporting those facing persecution”.

But she added: “We will make sure that people who have no right to be in this country are removed from this country. That’s right. It’s what people expect. It’s what this government will deliver.”

Ms Phillipson also insisted there “needs to be reform of the ECHR” and said the home secretary is “looking at the article eight provisions”, which cover the right to a private and family life, to see “whether they need updating and reforming for the modern age”.

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However, she refused to say what the government would do if it is found that the ECHR is unreformable. Instead, she defended Labour’s position of staying in the governance of the convention, saying that honouring the “rule of law” is important.

She added: “Our standing in the world matters if we want to strike trade deals with countries. We need to be a country that’s taken seriously. We need to be a country that honours our obligations and honours the rule of law.”

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Sunday Morning With Trevor Phillips

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Asylum seekers to remain at Bell Hotel

Ms Phillipson was also drawn on the recent court ruling in favour of the Home Office, which overturned an injunction banning The Bell Hotel in Epping from housing asylum seekers.

Challenged on whether the government is prioritising the rights of asylum seekers over British citizens, she said it “is about a balance of rights”.

The cabinet minister also repeated the government’s plans to end the use of hotels to house asylum seekers by 2029.

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‘We should have overruled law’

Shadow Cabinet Office minister Alex Burghart said the Conservatives would be willing to leave the ECHR – if this route is recommended to them.

The Tories have asked a senior judge to look into the “legal intricacies” of leaving the convention, which he said is “not straightforward”. He said when the party receives that report, it will then make a decision.

Challenged on whether the Tories will leave if that is what the report recommends, he added: “If that’s what’s necessary, we will do it.”

Mr Burghart also said he believed the previous Conservative government’s biggest mistake was that “we did not go far enough on overruling human rights legislation”, which prevented it from “taking the tough action that was absolutely necessary”.

But he added the Conservatives have now “put forward very clear legislation that would solve this problem” – though he concluded Labour “isn’t going to do it” so the problem “is going to get worse”.

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Archbishop of York Stephen Cottrell tells Nigel Farage ‘kneejerk’ migrant deportation plan won’t solve problem

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Archbishop of York Stephen Cottrell tells Nigel Farage 'kneejerk' migrant deportation plan won't solve problem

The Archbishop of York has told Sky News the UK should resist Reform’s “kneejerk” plan for the mass deportation of migrants, telling Nigel Farage he is not offering any “long-term solution”.

Stephen Cottrell said in an interview with Trevor Phillips he has “every sympathy” with people who are concerned about asylum seekers coming to the country illegally.

But he criticised the plan announced by Reform on Tuesday to deport 600,000 people, which would be enabled by striking deals with the Taliban and Iran, saying it will not “solve the problem”.

Mr Cottrell is currently acting head of the Church of England while a new Archbishop of Canterbury is chosen.

Pic: Jacob King/PA Wire
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Pic: Jacob King/PA Wire

The Archbishop of York, Stephen Cottrell in 2020.
File pic: PA
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The Archbishop of York, Stephen Cottrell in 2020.
File pic: PA

Phillips asked him: “What’s your response to the people who are saying the policy should be ‘you land here, unlawfully, you get locked up and you get deported straight away. No ifs, no buts’?”

Mr Cottrell said he would tell them “you haven’t solved the problem”, adding: “You’ve just put it somewhere else and you’ve done nothing to address the issue of what brings people to this country.

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“And so if you think that’s the answer, you will discover in due course that all you have done is made the problem worse.

“Don’t misunderstand me, I have every sympathy with those who find this difficult, every sympathy – as I do with those living in poverty.

“But… we should actively resist the kind of isolationist, short term kneejerk ‘send them home’.”

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What do public make of Reform’s plans?

Nigel Farage at the launch of Reform UK's plan to deport asylum seekers. Pic: PA
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Nigel Farage at the launch of Reform UK’s plan to deport asylum seekers. Pic: PA

Asked if that was his message to the Reform leader, he said: “Well, it is. I mean, Mr Farage is saying the things he’s saying, but he is not offering any long-term solution to the big issues which are convulsing our world, which lead to this. And, I see no other way.”

You can watch the full interview on Sunday Morning with Trevor Phillips on Sky News from 8.30am

Mr Farage, the MP for Clacton, was asked at a news conference this week what he would say if Christian leaders opposed his plan.

“Whoever the Christian leaders are at any given point in time, I think over the last decades, quite a few of them have been rather out of touch, perhaps with their own flock,” he said.

“We believe that what we’re offering is right and proper, and we believe for a political party that was founded around the slogan of family, community, country that we are doing right by all of those things, with these plans we put forward today.”

Sky News has approached Mr Farage for comment.

Farage won’t be greeting this as good news of the gospel – nor will govt ministers

When Tony Blair’s spin doctor Alastair Campbell told journalists that “We don’t do God”, many took it as a statement of ideology.

In fact it was the caution of a canny operator who knows that the most dangerous opponent in politics is a religious leader licensed to challenge your very morality.

Stephen Cottrell, the Archbishop of York, currently the effective head of the worldwide Anglican communion, could not have been clearer in his denunciation of what he calls the Reform party’s “isolationist, short term, kneejerk ‘send them home'” approach to asylum and immigration.

I sense that having ruled himself out of the race for next Archbishop of Canterbury, Reverend Cottrell feels free to preach a liberal doctrine.

Unusually, in our interview he pinpoints a political leader as, in effect, failing to demonstrate Christian charity.

Nigel Farage, who describes himself as a practising Christian, won’t be greeting this as the good news of the gospel.

But government ministers will also be feeling nervous.

Battered for allowing record numbers of cross- Channel migrants, and facing legal battles on asylum hotels that may go all the way to the Supreme Court, Labour has tried to head off the Reform challenge with tougher language on border control.

The last thing the prime minister needs right now is to make an enemy of the Almighty – or at least of his representatives on Earth.

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