Most English data centers consume less water than an average recreational center, respectively, as operators adopt innovative cooling strategies.
In early 2025, concerns over water scarcity were raised, with reports highlighting that tech giants like Amazon, Microsoft, and Google were operating data centers in some of the world's driest regions. Fast forward to the present, and the data center sector is poised for significant growth, with a potential contribution of £44 billion in GVA between 2025 and 2035.
Data centers are considered vital to the UK's digital economy and AI ambitions, according to Matthew Evans, Director of Markets and COO at techUK. They currently contribute an estimated £4.7 billion in GVA to the UK economy each year, supporting over 43,000 jobs.
However, the growth of data centers across the country is not without challenges. The report "Understanding Data Centre Water Use in England" by TechUK suggests that data centers are not intensive water users, with 64% of commercial data centers in England using less than 10,000 m3 of water each year, equivalent to the water use of a Premier League football club.
Advances in cooling techniques have allowed data center operators to significantly curtail water use. In fact, more than half (51%) of data centers in England are now using waterless cooling systems. TechUK emphasizes the need for greater industry focus on measuring and reporting water usage and water usage effectiveness (WUE) at sites across the country.
The Environment Agency is working with industry and other regulators to raise standards and secure the best outcomes for the environment and water supply for future generations. Richard Thompson, the Environment Agency's Deputy Director for Water Resources, states that future data center expansion must go hand-in-hand with protecting public water supplies, food security, and the environment.
One of the key recommendations from techUK is the development of a UK-wide "water exploitation index" to assess potential water stress on a region-by-region basis. This index could help guide the placement of new data centers and ensure that they are not contributing to water scarcity in already dry regions.
The report also notes that while most data center operators no longer need to monitor water usage due to closed-loop systems, there are still concerns about water-intensive cooling methods dependent on local water resources. While no specific companies in England were named in the report, large data center operators like Hetzner and Google, who operate in Europe, were not found to have water-intensive cooling methods or local water dependency in England specifically mentioned.
Google, in particular, has faced criticism in the past for its water consumption. In 2022, the company was called a "water vampire" for consuming around a third of an Oregon city's water supply.
Matthew Evans stated that the report shows data center operators are actively innovating to address water consumption. He also called for closer collaboration between government, regulators, and industry to accelerate data center expansion while ensuring sustainable practices.
In conclusion, while data centers are crucial to the UK's digital economy, it is essential that their growth is managed responsibly, with a focus on minimizing water use and ensuring that public water supplies, food security, and the environment are protected.
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