Drax signs Brookfield, Radiant deal to develop UK data centre project
Drax is expanding its role in digital infrastructure by linking its power generation assets with a large-scale data centre plan in northern England. The partnership with Brookfield and AI infrastructure platform Radiant targets a site exceeding 1 gigawatt, with potential investment estimated at more than 20 billion pounds.
Highlights
- Drax, Brookfield, and Radiant will jointly develop a data centre at Drax Power Station exceeding 1GW, targeting commercial operations in early 2028.
- Brookfield and Qatar's QIA joint venture will provide investment, with total potential outlay exceeding £20 billion and £2.5 billion allocated for the first phase.
- The project leverages Drax's 4GW grid access and aims to become one of the UK's largest data centres, reflecting rising AI and cloud infrastructure demand.
Project structure and development timeline
As reported by Reuters, citing Drax in a statement, the British power generator has signed a partnership deal with Brookfield and Radiant to jointly develop a data centre at Drax Power Station that would exceed 1 gigawatt.Drax is providing powered land and generation capabilities from its 4GW grid access at the site, while Radiant is contributing AI infrastructure expertise. Brookfield is supplying investment capital through a joint venture with Qatar's QIA announced in 2025.
The company said the first phase is targeting commercial operations from early 2028 and will use power directly from the grid.
Investment scale and UK market impact
Brookfield estimates the total potential investment in the project could exceed 20 billion pounds, with an initial 2.5 billion pounds earmarked for the first phase.Drax Group CEO Will Gardiner said that, if fully built, the scheme could become one of the largest data centres in the UK. The project underlines growing demand for large power-connected sites as data centre operators expand capacity for AI and cloud infrastructure.
Our earlier coverage of the U.S. AI data center boom highlighted how rising financing costs, construction delays, and grid constraints are putting many large projects at risk. We noted that only a minority of planned developments were viewed as credible amid weaker investor sentiment, cost overruns, and growing pressure to secure reliable power for new sites.