The recent classification of data centres as Critical National Infrastructure (CNI) and the approval of Hertsmere’s DC01UK, one of Europe’s largest planned data centres, has put the sector firmly in the spotlight. With demand surging, the government is driving development—and the industry is responding.

With the potential to contribute an additional £44 billion to the UK economy by 2035, it’s crucial the sector gets the delivery of data centre infrastructure right. Discussing how the sector can seize this enormous opportunity for growth and address its key challenges head-on, Meeting Place, in collaboration with the Data Centre Alliance, brought together key voices from the public and private sectors:

• Cllr Jeremy Newmark, Leader of Hertsmere Borough Council
• Venessa Moffat, Advisory Board Member at the Data Centre Alliance
• Nick Bishop, Project Director and Critical Facilities Practice Area Leader at Gensler (architects)
• Josh Joshi, Data Centres & Operating Partner at AtlasEdge and DigitalBridge

Here’s what we learned…

The challenges

Without us realising, data centres are almost everywhere we look. Josh explained “they’re the phones in our hands and the computers on our desks – a data centre is a piece of physical architecture where computing is done, but one of our biggest challenges is helping people understand what they are”.

Data centres could be a powerhouse for economic growth, but failure to educate the public, consider social impact and sustainability at the early stages of their development and tackle the challenges of energy supply head on could lead to lost opportunities for the sector. Some of the key challenges include:

• Energy hungry – can the national grid supply the vast amount of energy required for computing in data centres? Some countries, like Ireland, have already paused new developments due to energy constraints.
• Land dependent – traditionally, data centres have clustered around London, but space is running out. Large data centre campuses outside major cities are part of the solution, but they must get local buy-in.
• Security – large data hubs could become targets for physical and cyber threats, making robust security measures essential.
• Supply chain – the approaching ‘grey tsunami’ – the retirement of experienced professionals, poses a significant challenge, making the talent pipeline crucial.
• Engagement – data centres are still widely misunderstood – without clear communication and engagement, communities may resist new developments.

What does success look like?

Our panel discussed the ‘five pillars for success,’ as outlined by Venessa (Data Centre Alliance), to guide best practices for data centre planning and development.

1. Social impact

Data centres, when planned and positioned strategically, have the potential to bring significant benefits to local communities. From job creation to offering discounted energy to nearby businesses, these facilities can play a vital role in supporting communities.

As Venessa pointed out, engagement has to be carried out from the very beginning. The “onion” approach, a method of planning that considers community integration such as providing waste heat to local swimming pools, demonstrates how data centres can become a resource for their surrounding areas.

Nick emphasised that good design goes beyond aesthetics – it’s about ensuring every data centre integrates seamlessly into its environment and delivers tangible, long-term benefits.

2. Sustainable energy

Meeting the growing demand for data centres requires a diverse mix of renewable energy sources. Solar energy alone won’t suffice; wind, hydro, and nuclear power need to be part of the solution and the sector must help the government and council leaders to work in partnership to create circularity in its supply.

Strategic site selection plays also plays critical role. Data centres must be located in areas with robust renewable infrastructure to maximise efficiency and reduce strain on the national grid.

3. Planning & permitting

Proactive planning is key to successful data centre development. Referencing the recent approval of DC01UK in Hertsmere, Council Leader Jeremy Newmark explained that planning teams had to quickly become experts in data centre requirements to ensure smooth development and suggested that early engagement with local communities is essential for addressing concerns and fostering acceptance.

Venessa stressed the need to align national and local planning policies and explained the importance of getting the location right, not just for connectivity but for ensuring that repurposed energy has somewhere to go. In Amsterdam, new policies force data centres to align with sustainability and strategic goals. The UK must adopt a similarly forward-thinking approach.

4. Talent – showcasing the good stuff

The sector could face a significant skills gap with the impending the “grey tsunami”. To ensure the future success of the industry, it’s essential that the sector actively attracts and develops new talent.

Workforce development should be a central part of planning, creating long-term employment opportunities that benefit both the sector and local communities. Local training programmes and job creation should be designed into the early stages of development.

5. Security – Critical National Infrastructure status

With data centres now officially CNI designated, security is a top priority. Robust physical security and advanced cybersecurity protocols are essential for safeguarding the infrastructure that powers much of the digital economy. The UK must prioritise the security of its data centres to maintain the integrity and the public’s trust.

The data centre boom

The data centre boom is happening and with the recent CNI designation the sector is receiving the national attention it needs to drive meaningful progress in the regions.

By prioritising planning, engagement and collaboration, the UK can lead the way in building the next generation of data centres and unlock their enormous potential for economic growth.

Get in touch to continue the conversation: hello@meeting-place.uk