Microsoft has announced plans to invest $30 billion, or roughly £22 billion, in the UK between 2025 and 2028 to expand AI infrastructure and support its operations in the country.
This is just another example of a US giant that is committing to spending large amounts to support the UK’s AI agenda, as Google and BlackRock have both unveiled similar investment deals in recent days, with all of these announcements coinciding with President Trump’s visit to the UK.
As part of its investment, Microsoft will spend $15 billion on capital expenditures, which includes the construction of the UK’s largest supercomputer. It will be built in partnership with NScale at its AI Campus in Loughton, with the site delivering 50MW of AI capacity, scalable to 90MW, and will initially house 23,040 NVIDIA GB300 GPUs delivered in Q1 of 2027.
The remaining $15 billion will go towards funding ongoing UK operations – which includes an employee base of 6,000 people across multiple sites, covering research, AI model development, product and game development, data centre operations, and sales and support.
Speaking to the BBC, Microsoft CEO Satya Nadella noted that AI and the investment that will come from it has the potential to drive growth in the UK economy. He predicted that it will have a significant impact within 10 years, although hoped that it would come much faster – within the next five years.
Brad Smith, Vice Chair and President of Microsoft, linked the company’s investment decision to policy shifts in Whitehall. “Our ability to make an investment of this size is based in no small measure on the work the government is doing to reform planning, grow electricity capacity, and foster a more stable and open regulatory environment,” he noted.
The investment received strong backing from Prime Minister Keir Starmer, who commented, “Microsoft’s landmark investment is a powerful vote of confidence in the UK’s leadership in AI and cutting-edge technology.
“This commitment will not only strengthen our digital infrastructure and support thousands of highly skilled jobs, but also ensure Britain remains at the forefront of global innovation as we deliver on our Plan for Change.”
