£10bn investment in AI data centre confirmed

A £10bn investment in a new artificial intelligence data centre will create about 4,000 jobs, the government has said.

The site in Cambois, near Blyth, Northumberland, will become one of Europe's biggest AI data centres.

The land was bought by private equity giant Blackstone earlier this year, after the collapse of Britishvolt which had planned to build an electric car battery factory on the site.

Prime Minister Sir Keir Starmer said the investment showed that the UK was "open for business".

Sir Keir said Blackstone's investment was a "huge vote of confidence in the UK" and proved Britain was back as a "major player on the global stage".

The plan for the data centre was first revealed in April, before Sir Keir's election.

Northumberland County Council official Richard Wearmouth said at the time the project would put north-east England "at the heart of the AI revolution".

About 1,200 jobs would be dedicated to the project's construction, the government said. The council also previously said the data centre would create about 2,700 related jobs.

Britishvolt's plans for a car factory had been slated to create about 8,000 jobs.

Construction on the site is expected to start next year, the government said.

Blackstone head Jon Gray said the firm was "committed to Britain". The firm also confirmed it would put £110m into a fund for skills training and transport infrastructure for the region.

Northumberland County Council leader Glen Sanderson said the investment was a "gamechanger" for the region and welcomed the prime minister throwing "his full support" behind it.

"Just yesterday, I wrote to the prime minister inviting him to visit the site at Cambois to see for himself its enormous potential," he said.

"I look forward to welcoming him to Northumberland and to discussing with him how further government investment in our infrastructure can unlock even more economic growth."

Additional reporting by PA Media.

Follow BBC North East on X, Facebook, Nextdoor and Instagram. Send your story ideas to northeastandcumbria@bbc.co.uk.