By Conor McNevin
Publication Date: 2026-10-19 04:46:00
Microsoft has withdrawn from the UK’s largest AI data center project in Loughton, Essex over concerns about electricity supplies. Nscale, a British vertically integrated, full-stack AI infrastructure and neocloud company remains committed to the facility’s development which was announced in 2025, and originally expected to be completed in 2027. The project was backed by the UK government as a major part of its plans to expand the UK’s artificial intelligence infrastructure.
Microsoft had been expected to fund a supercomputer at the site and act as its anchor customer. Its withdrawal leaves Nscale without an official public customer for the Essex facility. The setback follows reports that electricity supply problems would delay the project’s connection to the national grid as reported by the BBC.
“We remain committed to both the Loughton project and the UK and we are exploring alternative power sources for the site, in addition to other expansion sites in the…