Calls for North Lincolnshire to be named an AI Growth Zone as data centre investment grows

Council leader says investors are ready to put serious money into the area

North Lincolnshire Council building
Author: Adam ClarkPublished 19th Aug 2026

The Government is being urged to designate North Lincolnshire as an AI Growth Zone as private-sector investment in data centres in the area continues to gather pace.

Three significant market-led investments have come forward in North Lincolnshire.

Two have already secured planning permission, while a third is progressing separately through the planning process.

'Serious money'

Council leader Cllr Rob Waltham said the interest showed the area's potential to become a nationally important centre for the infrastructure needed to power Britain's growing AI economy.

Cllr Waltham said: "The market is already telling us that North Lincolnshire has something significant to offer. Investors are prepared to put serious money into the area and Government should now back that confidence by designating North Lincolnshire as an AI Growth Zone, as it has elsewhere.

"But we should not dismiss the genuine questions residents have about developments on this scale."

Energy and water concerns

Cllr Waltham said developers must properly address concerns about energy and water use, and demonstrate how communities would benefit.

He said: "Data centres need huge amounts of energy. People want to understand how much water they will use and how that will be managed. We should also be asking whether the enormous amount of heat they generate can be captured and put to productive use – potentially supporting agriculture, horticulture or other local industries.

"Developers need to engage with communities and provide credible answers. Being pro-investment does not mean ignoring legitimate concerns."

A question of national resilience

Cllr Waltham said increasing Britain's domestic data-centre capacity was also becoming an issue of national resilience, as businesses and public services became increasingly reliant on AI and cloud computing.

He said: "Businesses are rightly thinking much more carefully about where their data is held, and organisations such as the NHS hold some of the most sensitive information there is.

"If AI is going to become fundamental to the British economy, Britain needs more of the infrastructure that supports it here in Britain. We should not become overly dependent on other countries for something that will become increasingly important to businesses, public services and national resilience."

Higher-skilled jobs

North Lincolnshire already has major strengths in steel, energy, engineering, manufacturing, agriculture, ports and logistics.

Cllr Waltham said digital infrastructure could help create a new generation of higher-skilled, better-paid jobs.

He added: "This has to be about much more than the data centres themselves. It is about the businesses that grow around them, the skills they create and giving young people access to the highly skilled, well-paid careers that will drive the next generation of the economy.

"North Lincolnshire has the land, energy, industrial capability and private-sector appetite – and, of course, steel for the buildings.

"The investment is already coming. Government now needs to recognise that momentum, designate North Lincolnshire as an AI Growth Zone and help us turn it into something even bigger."

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