A new report from RLB has said that data centre operators in the UK and Europe are expecting to commission 42% more capacity in 2026 than last year.
The consultant said the figure represents a 319% increase since 2023 with operators and contractors quoting AI as a primary driver of data centre demand at 45%.
Other areas of growth include 5G/6G (41%) and Cloud computing (38%), while high performance computing (33%) and sustainable IT (32%) also cited.
But despite the appetite for more and more data centres – there are believed to be more than 500 in the UK alone – RLB warned that some may struggle to get out of the ground.
It said: “The future of Europe’s data centre expansion is not dependent on demand but whether there is the ability to deliver, with structural challenges to the next wave of digital infrastructure including limited access to power, permitting delays and renewed pressure on materials, equipment and specialist labour.”
Energy strategy is also central to development strategy – securing grid connections, negotiating private power arrangements and exploring co-location with generation or storage assets now commercial imperatives.
The top three challenges quoted by those surveyed included access to power (35%), permitting delays (33%) and price and lead times of materials and equipment (29%).
And RLB warned: “The scale and complexity of projects is increasing risk concentration. Larger, more power-dense and bespoke facilities place greater reliance on a narrower band of suppliers and contractors. Delivery delays now carry material financial and reputational consequences. Penalties for late delivery are significant.”
But the report said that operators were banding together to mitigate supply chain disruptions or delays with 42% of operators saying they have already entered risk sharing partnerships.
RLB’s head of advanced tech UK & Europe Nikki Venetsanakis said: “This new era will see even more growth which could feel intimidating or challenging for developers and operators.
“Those organisations that will succeed in this new era are those that industrialise delivery – who work with trusted partners to navigate risk and pre-empt challenges ahead, and who are investing in data-driven site selection to reduce power and permitting risk.”
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