Plans have been announced for a £20bn-plus data centre development at Drax Power Station in North Yorkshire, with the first phase expected to become operational in early 2028. Energy group Drax has joined forces with investment firm Brookfield and its UK-based AI infrastructure business Radiant to develop what could become one of the largest data centre campuses in the country.
The proposed development is targeting more than 1GW of computing capacity, with total investment potentially exceeding £20bn if the scheme proceeds in full. The project will be delivered in stages, beginning with an initial £2.5bn investment to establish up to 100MW of data centre capacity by the first quarter of 2028.
Subsequent phases would see capacity increase to 500MW between 2028 and 2031, followed by further expansion beyond that date. The scale of the proposals reflects growing demand for the infrastructure required to support artificial intelligence, cloud computing and other data-intensive technologies.
The development will occupy part of Drax’s existing 1,000-acre power station estate, where established energy infrastructure offers several advantages for a project of this nature. The site already has a 4GW grid connection, 2.6GW of active electricity generation capacity and existing cooling infrastructure. These assets could help address some of the principal challenges associated with developing large-scale data centres in the UK, particularly the availability of electricity and the time required to secure suitable grid connections.
Access to substantial power capacity has become an increasingly important consideration for data centre developers as demand for computing infrastructure continues to grow. The Drax site offers the opportunity to build on an established energy location rather than developing an entirely new power and utility infrastructure network.
Under the proposed partnership, Radiant will lead the design, construction and operation of the AI computing infrastructure. The business is Brookfield’s UK-headquartered compute infrastructure platform, with the investment supported by the Brookfield-Qai joint venture.
The partners intend to develop the site into a major centre for AI computing, with the phased approach allowing capacity to be introduced and expanded as demand develops. The initial 100MW installation will establish the first operational facilities, while the subsequent expansion towards 500MW will represent a substantial increase in the campus’s computing capability.
Drax Group chief executive Will Gardiner said: “If constructed in full, this project could become one of the largest data centres in the UK, attracting billions in inward investment, supporting the North’s reindustrialisation and strengthening sovereign AI capability.”
Brookfield head of AI infrastructure Sikander Rashid said: “Our capital and deep operating capabilities will help accelerate the construction of a critical piece of sovereign AI, delivered by Radiant, our UK-headquartered compute infrastructure platform.”
The proposals also represent a significant potential new use for part of the Drax estate, extending its role beyond conventional electricity generation into the rapidly expanding digital infrastructure market. The combination of available land, established grid infrastructure and power generation capacity provides the basis for a development that could attract substantial investment into North Yorkshire.
The formal planning process is expected to begin in the coming months. However, the proposed first phase remains dependent on planning consent, regulatory and network approvals, as well as securing a tenant. These requirements will need to be addressed before construction and delivery can progress in line with the anticipated programme.
If completed as envisaged, the development would introduce more than 1GW of data centre capacity to the UK market, supported by investment potentially exceeding £20bn. Its phased delivery, beginning with the planned 2028 opening, would establish Drax as a significant location for the next generation of AI and computing infrastructure.
