Drax Data Centre Deal Could Attract More Than £20 Billion
The Drax data centre project took a major step forward after the company signed a partnership with Brookfield and AI infrastructure platform Radiant to develop a facility exceeding one gigawatt at Drax Power Station in North Yorkshire. Brookfield estimates that the development could attract more than £20 billion in total investment, including an initial £2.5 billion for its first phase. Drax disclosed the figures on 3 November.
The development is intended to provide computing capacity for the growing demand for artificial intelligence. However, the headline investment figure is a potential estimate that includes semiconductor chips; it is not a sum already committed or spent. The partners plan to build the site in stages, with the first phase targeting commercial operations in early 2028.
Drax data centre project targets more than one gigawatt
The first phase is planned to deliver up to 100 megawatts (MW) of data centre capacity, with operations targeted for the first quarter of 2028. The second phase aims to add a further 500MW between 2028 and 2031. The partners also intend to develop additional capacity after 2031, taking the overall project beyond one gigawatt if fully realised.
The timetable remains conditional. The first phase requires planning permission, regulatory and network approvals, a suitable tenant, commercial agreements and final investment decisions by the partners. Drax said a public consultation is expected to begin in November, with the planning process to follow.
How the three partners will contribute
Drax will provide the land, power integration and planning leadership at its existing power station site. Radiant, Brookfield’s UK-headquartered AI infrastructure platform, will lead the data centre’s design, customer engagement and commercialisation. Brookfield will provide investment capital and operating capabilities through its joint venture with Qatar’s Qai.
The Brookfield-Qai venture was announced in 2025. Its involvement brings institutional capital to a project that combines energy infrastructure with the computing facilities needed to run AI services. Radiant is expected to seek commitments from anchor customers before construction begins.
Drax’s power infrastructure is central to the plan
The Drax Power Station estate has around 4 gigawatts (GW) of grid access and 2.6GW of dispatchable generation capacity, according to the company. The first phase is expected to draw electricity directly from the grid. Later development could make greater use of the site’s existing generation through a behind-the-meter arrangement, subject to approvals and commercial agreements.
The location gives the project access to an established energy site, but the power arrangements will evolve across its planned phases. The partners have also proposed a voluntary community benefits fund, to be developed in consultation with nearby communities and separate from existing planning obligations and Drax initiatives.
Approvals and customers remain key hurdles
The agreement marks a major step in the Drax data centre plans to turn part of its North Yorkshire site into digital infrastructure, but it does not mean construction is ready to begin. Planning, grid and regulatory decisions, customer commitments and final investment approvals will determine whether the first phase proceeds on schedule.
The project also comes as the UK seeks to expand domestic data centre capacity to support AI development and retain sensitive computing workloads within the country. If delivered at its proposed scale, the Drax development could become one of the UK’s largest data centre sites. For now, its capacity and investment figures remain targets rather than completed infrastructure.
