Monday, June 9, 2025

Datacentre project raises emissions concerns for UK businesses

A proposed £10 billion AI data centre in Lincolnshire has sparked environmental scrutiny, with projected annual carbon emissions exceeding 850,000 tonnes, five times more than Birmingham Airport. The 15-warehouse facility, planned for a site east of Scunthorpe, is currently under public consultation and would draw 3.7 billion kWh of electricity a year, according to documents reviewed by national media.

The proposal highlights growing concerns among stakeholders over the environmental footprint of AI infrastructure. Researchers have noted that AI’s exponential computing demands far exceed those of traditional IT, resulting in increased energy use and water consumption for cooling. In some regions, data centres have been accused of competing with local communities for essential water supplies.

Industry experts warn that the rapid deployment of AI has outpaced the development of environmental oversight. While AI offers potential efficiencies, the infrastructure behind it remains resource-intensive, raising questions for companies that balance digital transformation with their ESG responsibilities.

The data centre debate comes as the Labour government pledges to position the UK as an “energy superpower” while simultaneously pushing for a 20-fold increase in AI computing capacity. Environmental organisations are closely monitoring developments, with legal challenges likely if climate commitments are not upheld.

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