Data centres’ expansion in London sparks energy and climate debate

London authorities are drafting new data centre policies amid concerns about their environmental impact and rising energy use. City Hall aims to balance the sector’s economic advantages with pressures on electricity, water, and emissions.

The Greater London Authority (GLA) estimates that 10 large data centres generate around 2.7 million tonnes of carbon emissions due to their high electricity consumption. Of the 100 data centres the UK plans, about 60 will be in London.

Megan Life, assistant director for environment and energy at the GLA, told the London Assembly Environment Committee the new strategy aims to ‘keep hold of the kind of economic growth benefits that data centres offer’ while addressing some ‘quite challenging’ impacts linked to their energy use.

Deputy mayor for environment Mete Coban said the expansion of data centres brings both ‘big benefits’ and ‘massive challenges’ for the capital, particularly in terms of energy and water consumption. ‘It’s not just a London problem, it’s going to be a global problem,’ he said, adding: ‘It’s about making sure that our environment doesn’t suffer in the hands of a few global corporations who will take and not give back, so we want to make sure we equitably do this.’

Policymakers are assessing how data centre growth may affect climate goals and urban infrastructure. London Mayor Sadiq Khan has commissioned a study to forecast future expansion. At the same time, UK lawmakers have launched an inquiry into the environmental impact of the sector as demand for cloud computing and AI infrastructure grows.

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