Where Are Data Centres Being Built in the EU & UK in 2025?

Europe and the UK continue to invest in and strengthen their digital infrastructure, with data centres serving as the critical backbone of this transformation.  Cloud computing, AI-driven applications, and the continued expansion of remote work are fuelling unprecedented growth in the sector.

According to CBRE, the European data centre market expanded by nearly 20% year-over-year in Q1 2024, with significant development in major hubs like Frankfurt, London, Amsterdam, and Paris. Notably, Paris led with over 40% year-over-year growth.


Data Centre

Economic Impact of Data Centre Investment

United Kingdom

Data centres are a critical contributor to the UK economy:

  • £4.7 billion in annual Gross Value Added (GVA)
  • 43,500 jobs supported
  • £640 million in tax revenue

Looking ahead, increased investment could unlock:

  • £44 billion in additional GVA
  • 40,200 operational and 18,200 construction jobs
  • £9.7 billion in new tax revenues

Notably, Amazon Web Services has announced an £8 billion investment in UK data centres—projected to generate £14 billion in GDP and support 14,000 jobs across sectors.

Europe

  • Germany: Data centres contribute €250 billion in GVA, with 5.9 million jobs tied to cloud-reliant businesses.
  • Netherlands: The digital sector represents 25% of GDP, attracting 20% of all FDI—making it the country’s largest investment sector.
  • Google’s Investments (2007–2017): Averaged €490 million/year in GDP impact and 6,600 jobs annually.

2025 Data Centre Developments Across Europe

  • Frankfurt: Yondr Group has launched the first 20 MW phase of its 40 MW data centre project in Bischofsheim, enhancing the region’s capacity for AI and cloud services.
  • Lübbenau: Schwarz Group is developing a new data centre campus, reinforcing Germany’s position in the digital infrastructure landscape.
  • National Initiative: A consortium including SAP, Deutsche Telekom, Ionos, and Schwarz Group is in discussions to build a major AI data processing centre, aiming to secure part of the EU’s $20 billion funding initiative for AI gigafactories.

  • Brookfield Asset Management plans to invest €20 billion over the next five years to develop data centres and AI infrastructure, with €15 billion allocated to data centre investments led by its portfolio company Data4.

  • Dublin: Equinix announced plans to acquire BT Group’s Irish data centre business, including facilities in CityWest and Ballycoolin, for €59 million, expanding its presence in the region.
  • Arklow, County Wicklow: Echelon Data Centres is developing a major campus, DUB20, on a 67-acre site with plans for up to 100 MW of IT load. The project is one of multiple developments by Echelon in Ireland, aimed at positioning the country as a global digital infrastructure hub.
  • Policy Considerations: The country’s status as a leading data centre hub is being tested by energy supply issues and complex planning processes, prompting some tech firms to reconsider expansion plans.

  • Milan: Virtus Data Centres is entering the Italian market with its first facility in Milan’s Cornaredo cluster, a 70 MW site catering to hyperscalers and enterprises.
  • Rome: Gruppo Tim is investing approximately $136 million to develop a new data centre near Rome, enhancing the country’s digital infrastructure.

  • Aragon: Blackstone is developing a €7.5 billion, 300 MW data centre campus, marking a significant expansion in the region.
  • Madrid: Edgnex announced plans to develop a 40 MW data centre, contributing to the country’s growing digital infrastructure.
  • Castilla-La Mancha: Meta’s Major Campus in Talavera de la Reina Meta will begin construction in early 2025 on a vast 191-hectare data centre campus. With a €750 million investment, the project is expected to create 250 direct jobs and 300 construction roles, marking a major boost for Spain’s digital infrastructure.

  • Nationwide: Microsoft announced a $3.2 billion investment to expand its data centre capacity, adding 20,000 GPUs across three facilities.
  • Borlänge: EcoDataCentre is converting a former papermill plant into a data centre mega campus, spanning over 20 acres with at least 240 MW power capacity.

  • Mäntsälä: Verne announced plans to develop a 70 MW data centre campus, supporting AI and other compute-intensive workloads.
  • Pori: CompassForge Ventures unveiled plans for the Ecogrid Energy Park, integrating a large-scale data centre with a power plant to support the national grid. 

  • Lupfig: Microsoft has broken ground on its Zurich West campus, integrating sustainable cooling systems and eco-conscious design principles. The development underscores Microsoft’s broader commitment to carbon-negative operations across its European cloud footprint.

  • Ølgod: atNorth plans to build its largest data centre, covering 174 hectares with an initial capacity of 250 MW, equipped with advanced technology for heat reuse.
  • Copenhagen: Penta Infra announced plans to build a data centre spanning over 20,000 sqm with an IT capacity of 20 MW, enhancing the city’s digital infrastructure.

  • Hainaut: Google has unveiled plans to build a €1 billion data centre in Saint-Ghislain, reinforcing its European infrastructure to support AI workloads and green compute capabilities. The expansion complements Google’s ongoing commitment to sustainability and digital growth in the region.

  • Two new data centre projects totaling 40-45 MW are planned, representing investments of approximately €500 million, signaling the country’s growing role in the digital landscape.

  • Northumberland: Blackstone is developing a £10 billion AI-ready facility, set to be Europe’s largest AI data centre, creating over 4,000 jobs.
  • Hertfordshire: The £3.75 billion DC01UK project has gained planning approval, aiming to become one of Europe’s largest AI and cloud hubs.
  • Cardiff, Wales: Latos Data Centres plans a 90 MW Tier III hyperscale data centre, part of a broader initiative to develop 40 new data centres across the UK by 2030.
  • Stockport, Greater Manchester: Kao Data is constructing a £350 million data centre to bolster regional digital infrastructure.
  • Oxford and Essex: CloudHQ is developing a £1.9 billion data centre campus in Oxfordshire, while Nscale is investing £2.5 billion in a new facility in Loughton, Essex.

Talent & Workforce Trends

With the data centre boom comes a critical need for skilled professionals—from electrical engineers and commissioning managers to data technicians and project planners. The pressure to deliver on time, sustainably, and within tight specifications is driving demand for niche roles that blend technical expertise with adaptability.

We’re seeing strong opportunities across:

  • Commissioning and QA/QC roles
  • MEP project management
  • Data centre design engineering
  • Health & safety professionals with DC experience

AA Euro Group is uniquely positioned to bridge the talent gap with our pan-European recruitment network, deep industry knowledge, and proven track record in large-scale infrastructure staffing.

Looking Ahead

As we move deeper into 2025, the data centre sector will continue to be a backbone of Europe’s digital economy. New regulations, green energy mandates, and emerging technologies will shape the future—and we’ll be there to help businesses scale their workforce accordingly.

Whether you’re a data centre developer seeking top-tier talent or a skilled professional exploring your next opportunity, AA Euro Group is ready to support your journey.

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