United Kingdom Data Center Colocation Databook Report 2026: Market to Reach $11.08 Billion by 2030, Driven by Surging AI and GPU Workload Demand, Accelerating Hyperscaler Capacity Build-out
Dublin, April 30, 2026 (GLOBE NEWSWIRE) -- The "United Kingdom Data Center Colocation Market Size and Forecast by Revenue, Capacity, and 70+ Performance Metrics Across Service Type, Facility Architecture, Customer Segment, AI and Non AI Workloads, End Use Sector, Capacity Pipeline and Financial Metrics Databook Q2 2026 Update" report has been added to ResearchAndMarkets.com's offering.
The United Kingdom data center colocation market is expected to grow by 15.5% on an annual basis to reach US$7.30 billion in 2026. The colocation market in United Kingdom has demonstrated consistent expansion during 2021-2025, recording a CAGR of 14.4%. This growth momentum is accelerate over the forecast period, with the market projected to register a 11.0% from 2026-2030. By the end of 2030, the colocation market is anticipated to expand from US$6.32 billion in 2025 to approximately US$11.08 billion, driven by surging AI and GPU workload demand, accelerating hyperscaler capacity build-out, and sustained enterprise adoption of hybrid multi-cloud infrastructure.
The report also covers capacity pipeline metrics across operational, under-construction, and planned stages, alongside operational efficiency indicators such as PUE, rack power density, and renewable energy factor, and financial and investment metrics including capex per MW, electricity costs, and revenue per square foot. These insights collectively provide a comprehensive view of market structure, demand dynamics, and infrastructure investment trends across the US colocation ecosystem.
The UK is Western Europe's largest colo market by installed capacity. London dominates with the M4 corridor as the primary development zone. Supply is critically constrained, with vacancy rates in London below 3% as of early 2025. Manchester is developing as the primary alternative market.
Equinix operates the largest UK footprint including critical financial exchange facilities in Slough. Digital Realty has significant UK capacity. CyrusOne (KKR) operates in London. Ark Data Centres serves government and enterprise clients with secure facilities. Vantage Data Centers is expanding in the UK. NTT Global Data Centers operates in London.
In 2025, Vantage Data Centers announced UK campus expansions. Equinix continued incremental expansions at its London facilities. The UK government signed agreements with several operators for AI compute infrastructure under its national AI strategy.Supply constraints in London will persist for 3-5 years given planning and grid timelines. Regional UK markets will see accelerated investment. Operators with planning permissions and grid connections already secured in Greater London hold significant option value.
Key Trends and Growth Drivers
London Supply Compression Intensifies as Planning Constraints Persist
AI Infrastructure Investment Drives High-Density Colo Demand
Financial Services Sustains Premium London Colo Demand
Infrastructure & Regulatory Environment
Power Grid Access and Energy Mix
Government Policy and Data Localization
Barriers to Expansion
Key Attributes:
For more information about this report visit https://www.researchandmarkets.com/r/wbpzd8
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