Britain's aspiration to become a global leader in artificial intelligence is raising alarms over the immense water and energy consumption of data centers, particularly as the country grapples with drought conditions and an overburdened power grid.
While citizens are subjected to hosepipe bans and urged to conserve water, large-scale data centers, crucial for AI development, continue to consume vast quantities. According to the trade body TechUK, a significant portion of these facilities use substantial amounts of water annually. One in 25 data centers uses over 100,000 cubic meters of water per year, equivalent to the consumption of 3,000 households or 40 Olympic-sized swimming pools. This demand escalates during summer heatwaves, precisely when water resources are most strained.
Data Centers' Thirst and Heat
Data centers require substantial water for cooling systems, especially larger facilities that use water evaporation to dissipate heat generated by their energy-intensive operations. Estimates suggest that data centers in Slough, a hub for the industry, consume approximately 65% of the town's total electricity. While some larger centers utilize water-cooling systems, the increased complexity and power demands of advanced AI models, such as Meta's Llama 3, are exacerbating both energy and water consumption. Google, for instance, reported a 34% increase in water consumption in 2025 alone.
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Despite the high water usage, restrictions typically applied to residential and other commercial sectors do not always apply to data centers. This is partly because the government designated data centers as Critical National Infrastructure, allowing them to bypass some planning regulations and environmental considerations. This has led to criticism, with industry bodies like Water UK warning that government forecasts for future water needs have failed to account for the significant demands of data centers. Water scarcity has already impacted housing development and the construction of essential facilities, such as a proposed cancer hospital near Cambridge.
Power Grid Strain and Environmental Impact
The energy demands of data centers are also placing a significant strain on the UK's electricity grid. In 2024, data centers consumed an estimated 2,400 gigawatt-hours of energy, representing 2% of Britain's total energy consumption, a figure that has already risen to 2.5% by mid-2026. The development of new, large-scale data centers, such as Elsham Tech Park near Scunthorpe, highlights these challenges. While proponents suggest using closed-loop cooling systems to minimize water consumption, these systems can further increase power demands. Such facilities also raise concerns about carbon emissions, particularly if they rely on backup diesel generators, potentially undermining efforts to achieve a low-carbon electricity grid.
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Systemic Planning Failures
Reports from groups like the Government Digital Sustainability Alliance have labeled the oversight of data center water usage as a "systemic planning failure," indicating a disconnect between the nation's digital economy growth ambitions and its fundamental resource management strategies. This approach risks jeopardizing the broader economy by over-allocating resources to data centers. The UK's infrastructure, including its water supply and electricity grid, has faced challenges due to a lack of investment in new reservoirs over the past 30 years and the premature closure of coal-fired power stations. As the country pursues its AI ambitions, a critical re-evaluation of resource allocation and infrastructure planning is needed to ensure sustainable growth.