Google linked to data centre project in Teesworks
Technology giant Google has been linked to a massive data centre project at Teesworks, which was recently granted planning permission.
The Times newspaper claimed the US firm was in talks over building such a facility at the reclaimed industrial complex near Redcar, quoting “sources” close to commercial discussions.
A Google spokeswoman said it did not comment on “rumours or speculation”.
Teesworks – the site of the former Redcar steelworks – has bid to be one of the Government’s new Artificial Intelligence (AI) growth zones, which could unlock funding opportunities.
Tees Valley Mayor Ben Houchen said the Government was throwing their “full weight” behind making Teesside a “premier” AI growth zone.
As part of Donald Trump’s state visit, the UK and US have agreed a tech prosperity deal, which they said would help boost AI funding.
Sir Keir Starmer said this marks “a generational step change in our relationship with the US, shaping the futures of millions of people on both sides of the Atlantic”.
He added: “By teaming-up with world-class companies from both the UK and US, we’re laying the foundations for a future where together we are world leaders in the technology of tomorrow, creating highly skilled jobs, putting more money in people’s pockets and ensuring this partnership benefits every corner of the UK.”
As part of this, the Department for Science, Innovation and Technology said a new AI growth zone will be established in the North East, with a base in Newcastle and a data centre in Blyth.
Blackstone has committed £10bn to the Northumberland site, with the designation likely to provide an additional £20bn in funding.
Technology Secretary Liz Kendall said: “This investment will create thousands of high-quality jobs, boost skills and inspire the creation of new firms."
However, this growth zone will not include the proposed data centre at Teesworks. York and North Yorkshire has also bid to become an AI growth zone, with a data centre at Drax Power Station in Selby, however only a limited number of locations can be approved.
One spanner in the works for the data centre at Teesworks concerns opposition from BP, since it hoped to locate a blue hydrogen production plant – H2Teesside – on the same land.
Meanwhile, Teesworks commercial arm Teesworks Limited and the South Tees Development Corporation have objected to an application by BP for a development consent order which would pave the way for the land to be compulsorily purchased, scuppering any technology investment in the data centre.
Both sides have declared the overlapping projects to be of critical national importance.