A major AI data centre is planned for the Teesworks site, potentially becoming Europe's largest AI data centre campus, spanning almost 500,000 square metres. The project aims to establish Teesside as a central hub for AI infrastructure in Britain, offering expedited planning processes, dedicated energy resources, and integration with industrial and research facilities.
The Department for Science, Innovation and Technology (DSIT) is reportedly spearheading coordination efforts to enhance the UK's capacity for large-scale AI workloads. However, the Department for Energy Security and Net Zero (DESNZ) has voiced concerns regarding the potential energy and water consumption of AI data centres. These environmental considerations intersect with BP's blue hydrogen and carbon capture project planned for the same site, creating potential conflicts.
The data centre will support the growing demand for data processing, cloud services and technological resilience. The site will incorporate systems to store and repurpose excess power and heat, potentially benefiting the facility and the surrounding community through battery storage. The development could create hundreds of skilled jobs and support even more in the local supply chain, reinforcing Teesside's role in the UK's growing AI economy.
