Recent changes in development plans demonstrate a significant shift from office space to data centres in Salford.
- Initial plans by the Peel Group for office development near the Salford Community Stadium have been altered.
- DLD (Salford) Ltd proposes a new £250m investment for a data centre on the same site.
- The proposal aligns with the growing demand for cloud computing infrastructure in the UK.
- Data centres are increasingly recognised as vital components of the national infrastructure.
The alteration in development plans in Salford marks a pivotal shift from traditional office spaces to modern data centres, reflecting evolving economic demands. Previously, the Peel Group had secured permission to develop a mix of storage, research, and office spaces at a strategic location near the Salford Community Stadium. However, shortly after, a new entity, DLD (Salford) Ltd, has introduced a fresh proposal to transform the site into a data centre, indicating a £250 million financial injection into the local economy.
DLD (Salford) Ltd has recently established itself, with directors David Jason and Paul Velleman registering multiple businesses in the region, hinting at broader plans for data centre developments. While neither director appears to have prior experience in constructing data centres, the move indicates significant confidence in the potential value of such infrastructure. According to the planning application documents, the proposed data centre is expected to secure the site’s long-term viability by catering to the burgeoning data-driven and high-tech industry requirements.
Nationally, there is a noticeable trend towards data centre investments to meet the rapidly increasing demand for cloud services. Alongside Salford’s proposal, construction for a £350 million data centre is currently underway in Stockport, with completion anticipated in 2026. Moreover, plans for a colossal £4 billion facility by an undisclosed firm, DC01UK, in Hertfordshire further underscore this trend. Key industry player AWS has announced plans to invest £8 billion over the next five years in the UK, highlighting the strategic importance of expanding data infrastructure.
These developments coincide with governmental policy shifts aimed at accelerating infrastructure projects. The newly instated Labour government has criticized the existing planning regime, asserting its inefficiency in delivering necessary infrastructure, including data centres. It suggests that an enhanced legislative environment is crucial for supporting critical industries essential for future economic growth. In alignment with these views, recent governmental proposals seek to classify data centres as ‘critical national infrastructure’, thereby providing robust support equivalent to other essential services.
In light of these changes, the importance of data centres is underscored, reflecting their critical role within the modern economy and as part of the national infrastructure. This reclassification allows the sector to anticipate increased governmental backing, ensuring resilience against potential threats and fostering future technological advancements.
The reimagined plans for development in Salford underline the escalating priority placed on data centres as integral to the national technological infrastructure.