Drax joins Brookfield to develop an AI data centre potentially exceeding £20bn
The Yorkshire project targets an initial opening in early 2028, drawing on existing power infrastructure. Planning, network approvals and a suitable tenant remain conditions.
The proposed site could give Brookfield and Drax a route to build large-scale AI computing capacity around an existing power station, rather than a conventional greenfield data-centre project. But the headline value is not a committed construction budget: CNBC’s $26.8 billion estimate includes semiconductors, while the first phase is estimated at £2.5 billion. Delivery depends on planning, regulatory and network approvals, as well as securing a tenant, so the proposed capacity and schedule remain contingent.
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Phase one targets up to 100 MW from Q1 2028; a second phase aims to reach 500 MW between 2028 and 2031.
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Drax says the 1,000-acre estate has 4 GW of grid access, 2.6 GW of active generation, cooling systems and nearby fibre infrastructure.
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Community consultation is expected shortly, with formal planning targeted in the coming months and a voluntary benefits fund under consideration.
Drax’s new AI data-centre partnership carries a potential investment figure above £20 billion—but its first phase needs timely planning, regulatory and network approvals, and a suitable tenant. Announced on November 3, 2026, the agreement with Brookfield and its Radiant platform aims to develop gigawatt-scale computing infrastructure at Drax Power Station in North Yorkshire.
Brookfield’s backing and the first £2.5 billion
The partners intend to jointly develop, deliver and operate the data-centre capacity. Backing will come from the Brookfield-Qai AI infrastructure joint venture, while Radiant is Brookfield’s UK-headquartered AI infrastructure platform.
Brookfield’s estimate includes an initial £2.5 billion for phase one. CNBC puts the potential total at $26.8 billion and reports that it includes semiconductors, making the headline sum broader than a construction budget.
Drax shares were up 8.2% in early trading on November 3, CNBC reported.
Land, cooling and electricity already on site
Drax says the estate covers 1,000 acres and has 4 GW of grid access, alongside 2.6 GW of active generation that can supply electricity when needed. It also has cooling systems and sits near the UK fibre network.
Chief executive Will Gardiner said Drax could provide large-scale power directly to data-centre customers by using existing and underused generation capacity. He argued that the partnership could help secure the station’s long-term future and protect hundreds of jobs.
Radiant chief executive Mahdi Yahya framed the project as a way to give British researchers, startups and businesses access to advanced computing at home.
Consultation before formal planning
Community consultation is due to begin shortly, with Drax targeting the start of formal planning in the coming months. The partners also expect to establish a voluntary community-benefits fund, shaped through consultation with people around the power station. It would be additional to planning obligations and Drax’s existing community initiatives.
The companies say their initial assessment finds the proposal aligned with the government’s new Data Centre Covenant, which offers a pathway to faster power access and planning for strategically important data centres.
Sources
drax.comDrax, Brookfield and Radiant announce £20bn partnership to deliver GW-scale data centre capacity at Drax Power Station - Drax Global
cnbc.comBrookfield targets $27 billion AI data center at power station. Energy firm Drax surges 8%
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