A historic “Tech Prosperity Deal”
On 16 September 2025, British ministers and senior US executives gathered in London to announce a £42 billion technology pact designed to strengthen transatlantic cooperation in artificial intelligence, cloud computing and clean energy. The largest single contribution came from Google, which committed £5 billion over the next two years to build new UK infrastructure and support DeepMind. Alphabet CFO Ruth Porat said the investment would help unlock £400 billion of economic value by 2030, while Chancellor Rachel Reeves hailed it as a “powerful vote of confidence” in Britain’s tech sector.
Building a new data‑centre campus at Waltham Cross
Central to the programme is a large data‑centre campus planned for Waltham Cross, Hertfordshire. The facility will house thousands of servers to power Google’s AI services and cloud platforms. According to DatacenterDynamics, the campus will include rainwater capture systems and rely on renewable‑energy agreements struck with Shell. Construction is expected to create hundreds of jobs, and once operational the campus will employ up to 1,500 people in engineering, operations and support roles. Google said the investment also covers upgrades to its existing UK sites and additional support for Google DeepMind, which is headquartered in London.
Strengthening the UK’s AI ecosystem
Beyond bricks and mortar, Google plans to expand research and development in the UK. Demis Hassabis noted that Britain has a long legacy of pioneering computing – from Alan Turing’s early theoretical work to more recent breakthroughs in machine learning – and that the new funding will help the country remain at the forefront of AI. As part of the Tech Prosperity Deal, the UK government will fast‑track planning approvals for data centres and provide training programmes to address skills shortages. Other US firms are also opening or expanding UK research hubs: Microsoft has promised billions for cloud capacity and Amazon will upgrade its London and Leeds campuses.
A boost for jobs and the wider economy
Economic modelling commissioned by the Department for Business and Trade suggests that Google’s investment could support over 8,000 jobs each year during construction and operation. The influx of capital will also stimulate local supply chains ranging from construction to renewable‑energy technology. By increasing competition in the data‑centre market, Google’s entrance may lower cloud‑computing costs for UK businesses and attract new digital‑economy startups. Analysts caution, however, that such large projects will require careful management of electricity demand and environmental impact. Partnerships with energy companies like Shell and new infrastructure such as battery storage are therefore critical components of the plan.
