George Osborne says local opposition to datacentres is holding Britain back

George Osborne, former UK chancellor and OpenAI's head of AI for countries, warned that local resistance to datacentre projects is inhibiting the nation's ability to host critical AI infrastructure and retain 'sovereignty' over the technology. His comments came as protests against energy- and water-intensive datacentres spread across the UK.

George Osborne, the former Conservative chancellor who now leads OpenAI’s government engagement as head of AI for countries, said on Monday that local opposition to datacentre development is impeding the UK’s capacity to host essential artificial intelligence infrastructure.

Osborne made the remarks in reaction to nationwide protests targeting large datacentres, which campaigners criticise for their heavy demand for electricity and water. He argued that the UK needs a sufficient domestic footprint of such facilities to maintain what he described as national 'sovereignty' over AI technology.

Role at OpenAI

In his current role at OpenAI, Osborne represents the company to governments worldwide and has responsibilities that include facilitating the construction of datacentres and other supporting infrastructure. Those duties place him at the intersection of private-sector expansion plans and public concern about the local impacts of large-scale computing facilities.

Local opposition and environmental concerns

Campaigners and some local residents have raised environmental and resource-use objections to datacentre projects, staging protests in several parts of the country. Opponents cite the large amounts of energy and water these facilities require, while supporters and industry figures point to the economic and technological benefits of hosting computing capacity.

Implications for policy and planning

Osborne’s comments highlight a broader policy debate over how to balance local community interests, environmental constraints and national strategic objectives in the digital economy. Policymakers face choices about planning rules, grid capacity, water resource management and incentives if the UK is to expand its datacentre capacity for AI and other high-performance computing needs.

As the dispute continues to play out publicly, wider questions remain about how to reconcile rapid technological deployment with local consent and sustainability goals, and what role central and local government should play in guiding where and how datacentres are built.