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The Guardian - UK

National

Gwyn Topham

Microsoft pulls out of AI datacentre project in Essex over power supply concerns

Microsoft Artificial Intelligence Nscale Essex United Kingdom Loughton

An artist's impression of Nscale's planned datacentre in Loughton, Essex — An artist’s impression of Nscale’s planned datacentre in Loughton, Essex. Photograph: Nscale

The development of a huge AI datacentre hailed by the UK government has received a fresh setback after Microsoft pulled out of the project over concerns about power supplies.

The development by the British company Nscale, heralded by ministers as the country’s largest AI datacentre when it was announced in 2025, was planned to open at Loughton in Essex next year.

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