
Nscale, a London-based AI hyperscaler, has unveiled plans to invest $2.5 billion in the UK's data center industry over the next three years. This initiative aligns with the UK’s ambition to lead in generative AI and aims to bolster AI infrastructure while creating high-skilled jobs and supporting sustainable growth.
Key Points:
- Nscale commits $2.5 billion to build AI-focused data centers across the UK over three years
- First facility in Loughton, Essex will support 50MW of AI compute with potential for 90MW
- Investment aligns with UK government's strategy to establish leadership in AI infrastructure
- Project expected to create 750 jobs and strengthen UK's data sovereignty position
What’s happening:
Nscale has committed to building a network of fixed and modular data centers across the UK, beginning with a facility in Loughton, Essex, scheduled to go live by late 2026. The Loughton site alone will support up to 50MW of AI compute capacity—expandable to 90MW—and employ 45,000 Nvidia GB200 GPUs using advanced liquid cooling technologies. This infrastructure aims to provide businesses, researchers, and government institutions with powerful generative AI tools.
Why it matters:
This investment reinforces the UK’s aspirations to become a global leader in AI innovation. By building facilities powered by renewable energy and prioritizing data sovereignty, Nscale addresses two critical concerns for businesses: environmental impact and regulatory compliance. The data centers' modular design also ensures scalability to meet growing AI demands without environmentally taxing retrofits.
The bigger picture:
Nscale’s investment aligns with the UK Government’s AI Opportunities Action Plan, promoting public-private partnerships to stimulate economic growth and drive AI innovation. According to Nscale CEO Josh Payne, “Our expansion underscores our commitment to delivering sustainable, scalable AI infrastructure that drives innovation and economic growth.”
What’s next:
Construction on the first modular centers will begin later this year, with plans for additional fixed facilities in the following years. By investing in this infrastructure, Nscale not only strengthens the UK’s AI capabilities but also enhances its attractiveness for international AI-related investments, building momentum toward a sovereign AI cloud ecosystem.