Kao Data kicks off construction of new Stockport data center

Kao Data has broken ground on its new £350 million data center in Stockport, Greater Manchester, its fourth in the UK.

The demolition of the existing buildings on the ex-industrial site has now begun, with the new data center expected to come into operation by 2026.

The 25,900 sqm, 40MW facility is set to be the largest in the North of England and will represent one of Europe’s most advanced and sustainable hosting environments.

It’s aimed specifically at hosting AI and cloud applications and will be powered by 100% certified renewable energy, with hydrotreated vegetable oil (HVO) used in its backup power generators. Customers can choose between air or liquid cooling technologies.

CEO Doug Loewe said the move marks an important milestone both for the company and for the technology sector in the broader region.

“The city region is becoming an increasingly strategic location for digital infrastructure investment, and our new facility – the largest and most sustainable in the north of England – further reinforces Greater Manchester’s position as a digital and economic powerhouse.”

The new data center ties into the Greater Manchester Digital Blueprint, which aims to position the region as a major hub for UK digital infrastructure and technology innovation.

It has good connectivity, an industrialized power grid, a technically-skilled workforce, and well-established AI startup and research communities, the company said.

“As we continue our mission to ensure world-class digital infrastructure for the region, this new data center will play a pivotal part in our fast-growing and diverse technology ecosystem, reinforcing our position as a global leader in AI and data center capacity,” said Greater Manchester Mayor Andy Burnham.

“This data center can also raise aspirations and opportunities for young people, providing a window on the GM economy that they’ve never had before.”

As part of the move, Kao Data has pledged to engage with schools and colleges, and support technical career pathways for local students through the Greater Manchester Baccalaureate.

The company said the new data center will bring numerous highly-paid jobs, both for construction, engineering, and operations workers, and for tech professionals.

A recent report from Nicol Economics revealed the new data center could boost Stockport’s local economy by £155 million during its construction period.

“It’s a fantastic opportunity for Stockport to attract businesses like Kao Data to come and be based in the borough, with all the extra job opportunities and support for growing our local economy further that comes with them,” commented the leader of Stockport Council, Cllr Mark Hunter.

The development is the company’s fourth, with facilities already up and running in Harlow, Slough and Northolt in the south-east.