AI Growth Zones: North East
The question
To ask the Secretary of State for Science, Innovation and Technology, what assessment her Department has made of the potential impact of the decision by OpenAI to pause its Stargate UK investment on the AI Growth Zone in the North East of England, and what action her Department is taking to maintain confidence among international investors in the region.
Answered by Kanishka Narayan
Since the announcement of the North East AI Growth Zone, there has been no change to energy pricing or the regulatory environment in the UK. We engage regularly with developers and other stakeholders for the North East AI Growth Zone and are encouraged that Cobalt Park are in discussions with a number of alternative offtake customers. The success of the AI Growth Zones programme is not contingent on any single investor. Five AIGZs have been designated with the potential to deliver £28 billion of investment from a diverse range of developers.
The Government is delivering an ambitious policy package to support build-out of AI infrastructure in the UK. DSIT will set up a dedicated AI Growth Zone Delivery Unit providing a single point of contact for investors, accelerated planning and grid connection support, long-term business rates retention for host local authorities, and targeted energy pricing support.
We are continuing to create the right conditions for investment in the UK’s AI and data centre infrastructure work with leading AI companies to strengthen UK compute capacity.
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