Louise Leyland, director at PWA Planning, looks at the changing planning landscape for data centres in the UK and explores what will be the key data centre planning themes of 2026.
In my last article on data centre planning, I reflected on how data centres have moved from a niche industrial use in planning terms towards being a core strand of national infrastructure.
Two forces continue to shape the sector: the explosive growth in AI-driven demand, and a planning and energy system racing to keep pace. The result is a development landscape that is more supportive than it was even 18 months ago, but one that is also more scrutinised, especially on power, water, carbon and placemaking impacts.
Recent permissions, policy announcements and high-profile schemes across England and the devolved nations show the direction of travel: government wants more capacity, faster, and in more places, provided it is done sustainably and with demonstrable local benefit.
The recent UK picture: Acceleration, but with sharper environmental edges
Data centres are now “critical national infrastructure”
The 2024 designation of data centres as Critical National Infrastructure (CNI) was a clear signal that the sector is central to economic resilience and public service delivery. In planning terms, CNI status strengthens the “need case” and gives additional weight to national economic and security benefits at appeal and inquiry. It also foreshadows tougher expectations around security, operational resilience and incident response.
A new route for big schemes: NSIP on the horizon
The government has published plans to allow large data centres to be treated as Nationally Significant Infrastructure Projects (NSIPs). This is potentially a step-change: it could move strategic schemes from fragmented local decision-making into a clearer national test, aligning consenting with grid and digital strategy. Developers should already be considering whether future phases might cross NSIP thresholds and how to structure applications accordingly.
Growth zones and data centre clusters
The emergence of AI Growth Zones and other policy initiatives are pushing capacity beyond traditional data centre regions, such as London, the South East and M4 corridor. But clustering remains powerful with proximity to skilled labour and existing data ecosystems still driving demand. The planning system is increasingly recognising these market-defined “availability zones”.
Big schemes are landing and they’re testing the system
2025 saw approvals and proposals at a scale previously rare in the UK, including Blackstone’s hyperscale campus in Northumberland (a multibillion-pound scheme tied to jobs and regeneration), Segro and Pure DC’s Park Royal project in London, and Scotland positioning major renewable-powered AI sites within proposed growth zones. At the same time, high-profile objections on carbon and water use show that environmental considerations are no longer secondary issues.
Seven key planning considerations heading into 2026
- The planning policy balance is shifting, but evidence still wins
National policy is moving steadily toward a presumption in favour of data centre development in suitable locations, reflecting their economic role and CNI status. Updated NPPF thinking and central decisions are giving more weight to “strategic need,” including in constrained locations such as parts of the Green Belt where exceptional circumstances can be demonstrated.
In practice, this means the “need case” should be explicit and quantified (Megawatts, jobs, GVA), while site selection should be evidenced against alternatives, especially when sites are being proposed for Green Belt. Expect local planning authorities to look for clear alignment with local economic strategies and emerging digital infrastructure policies.
Updated Green Belt policy in December 2024, allowing some sites to be classified as ‘grey belt’ and therefore not subject to the same restrictions as Green Belt, will also continue to be impactful.
- Power availability and grid connection strategy are now make-or-break
Grid capacity and connection lead times remain the single biggest practical constraint on deliverability. Ofgem’s reform of the connections process, prioritising “ready” and strategically significant projects, is helpful, but it raises the bar on early design maturity and proof of deliverability.
It means grid strategy has to be a central part of the planning narrative, with data centre developers showing readiness in terms of phasing, land control for substations, and evidence of active DNO/ESO engagement.
- Carbon, air quality, and energy efficiency will face stricter tests
The AI boom is intensifying scrutiny on operational emissions. Some proposals are drawing national headlines for their projected carbon impacts. Planning authorities are increasingly expecting robust whole-life-carbon assessments, credible renewables pathways, and transparent efficiency targets.
The most credible data centre projects will be the ones with a clear operational net-zero trajectory, not just an “offset later” approach, as well as commitments to low carbon design standards, heat recovery, cooling and air quality.
- Water resilience and cooling choice are rising fast on the agenda
Water use is becoming a headline constraint in some regions, with water companies taking a much firmer stance where supplies are already stressed. Expect local planning authorities to require early evidence that cooling can be delivered without unacceptable draw on potable water supplies.
- Heat reuse is moving towards expected best practice
Heat offtake and heat-network integration is becoming a mainstream planning theme, spreading from London, where policy is more advanced, to other urban areas with district heat ambitions. Mapping heat-network opportunities at pre-app stage and considering space for future connections will be advantageous.
- ‘Good neighbour’ impacts still matter
Even where national need is strong, permissions can still turn on local impacts, such as visual impact, noise, lighting, traffic during construction, and the perceived ‘exploitation’ of edge-of-settlement sites.
Therefore, the design process should show consideration of massing, materials and landscaping that reduce perceived scale, as well as strong construction logistics planning. Biodiversity Net Gain and green-infrastructure provision is the new standard, not an optional extra.
- Community benefit and local economic integration are becoming standard asks
Large schemes increasingly succeed where they present a wider place-based offer, for example on jobs, skills, regeneration, and energy/heat benefits. This is especially visible in approvals tied to post-industrial land renewal or regional growth narratives. Therefore, it’s best to give early consideration to local supply chain strategies and early engagement with education providers on skills and apprenticeships.
Our looking into 2026 summary: Four things to watch
- Finalisation of the NSIP changes and how thresholds are set. If they are low enough, many hyperscale projects may pivot to NSIP consenting.
- Further planning policy evolution to recognise data centres explicitly in local industrial and digital strategies.
- A tightening sustainability bar. Expect more formalised requirements around whole-life carbon and heat reuse as policy catches up with environmental debate.
- Regional diversification to Scotland, Wales, the North East, and other power-advantaged areas, especially where renewable generation and land supply align.
How PWA Planning can help
Heading into 2026, the strongest data centre applications will be those that combine a compelling strategic need case with a credible, locally specific delivery story on power, water and carbon, and that show genuine integration with place and community.
PWA Planning continues to support clients through:
- Site optimisation and planning feasibility
- Pre-application strategy with LPAs and statutory consultees
- Planning system route selection and phasing
- Robust planning statements and EIA coordination
- Appeals and inquiry support where required
If you’re considering a new data centre proposal for 2026 onwards, we’d be pleased to discuss how to align your consenting approach with this fast-evolving policy and market landscape.
If you require planning advice around development of data centres in the UK, PWA can help. Contact Louise or call our planning team on 01772 369 669.