It has been revealed that the government has received over 200 responses from local authorities in the UK who want their areas to be designated as artificial intelligence (AI), growth zones. Local councils were asked to express their interest to support the development of these zones in February. These zones will house the datacentres infrastructure needed to help deliver the UK government’s AI ambitions. The UK’s first AI Growth Zone has already been confirmed to be Culham, Oxfordshire. This is the home of UK’s Atomic Energy Authority.
Previously, the government confirmed that Culham will be used as an experimental site for research into sustainable energy solutions that could be used to power power-hungry AI Datacentres.
In January 2025, the AI growth zones initiative was launched as part of the government’s AI Opportunities Action Plan 50-point policy paper. The aim of the initiative is to make AI services and technologies more widespread in the UK. The policy paper defines AI growth zones in the UK as areas that have “enhanced power access and support for planning permissions” to allow for the fast-tracking of planning permissions for these developments. The government has stated that it is looking to develop AI growth zones in areas of the country which are de-industrialised and can be easily redeveloped. The government has also specified that sites must be able to access power connections of 500MW or that local authorities must have an established plan to demonstrate that they can generate this amount of energy in order to have their AI Growth Zone bids considered. The government has hundreds of expressions in its possession and is now looking to advance some of these bids through an event that will be held today, 30th April 2025 at TechUK, London. Local authorities will be invited to the event, where they can discuss their proposals with AI Minister Feryal Clark and Prime Minister Keir Starmer’s AI advisor Matt Clifford.
Investors, MPs, and government officials will be invited. The government is expected to provide additional information on bid timelines and qualification criteria. The summer will see the announcement of the areas that have been selected to become AI growth zone.
AI will power the future, just as coal and steam did in our past. Our AI growth areas will transform UK regions into engines of opportunity and growth Feryal C. Clark, AI Minister
Just like coal and steam powered the past, AI powers the future. Clark said that our AI growth zones would transform areas in the UK into engines for growth and opportunity, unlocking new job opportunities and revitalising local communities.
This is our Plan for Change, ensuring that the benefits of AI reach every region, and securing UK’s position as a global leader in this vital tech.
Clifford stated that the UK has “extraordinary opportunities” in AI. However, time is crucial to ensure this potential is not wasted. “Speed is key,” he said. “Today’s announcement sends a clear message to investors and communities that we have already moved into high-gear.”
Space and power are a constraint on datacentre planning.
Read More about Datacentre Capacity Planning
The UK government will address the balance between energy sustainability and AI growth demands.