The UK's ambitious drive to become an AI superpower, underpinned by the designation of data centres as Critical National Infrastructure (CNI), faces a significant and often overlooked barrier: the lack of clear policy for sustainable development. A new paper from Grundfos warns that without urgent reforms, the nation's digital and growth ambitions risk being stifled by water scarcity.
The report, "Scale and Secure: Powering Europe's Digital Sovereignty (UK Chapter)," reveals that while the UK is committed to leading the AI revolution, the crucial enabling factors for long-term operability – sustainable water and energy management – are not adequately addressed by current policy. This oversight threatens not just environmental targets but the very ability to build and operate the infrastructure essential for the UK's digital future.
With a national 5‑billion‑litre‑per‑day water shortfall looming, data‑centre consumption is under scrutiny. Yet, the real issue is how to make these facilities radically more efficient. Data centres do use significant amounts of water and energy, but with the right technologies they can cut both dramatically. Water is a critical aspect of resource efficiency that must be integrated with energy planning to ensure these facilities can function without risking grid strain or public water resources.
Inge Delobelle, EVP and CEO for Grundfos’ Industry division, stated: “The UK’s commitment to AI and CNI is commendable, but the sustainable operation of data centres must be baked into policy, not an afterthought. Efficiency must be the default for data centre growth. Clear and predictable policy frameworks should guide decisions and speed up investment in proven systems that reduce water and energy consumption. That way we support responsible growth that safeguards local resources.”
Unlocking Sustainable CNI: Grundfos's Policy Asks
To ensure the UK becomes a leading AI superpower, its data centres must operate without compromising vital resources, Grundfos has called on Westminster to implement a robust framework that embraces the water-energy nexus. Key policy recommendations include:
Integrated Water & Energy Governance: Embed Water Usage Effectiveness (WUE) alongside Power Usage Effectiveness (PUE) in all planning, permitting, and reporting frameworks.
Mandatory Transparent Reporting: Introduce quarterly public disclosure of PUE, WUE, water source, and heat reuse, with independent verification, to drive accountability and best practice for data centres.
Align Incentives with Efficiency: Tie planning approvals and financial incentives directly to verified performance thresholds for highly efficient cooling technologies, promoting closed-loop systems and non-potable water use.
Invest in Sustainable Infrastructure: Provide targeted financial incentives for high-efficiency pumping, water reuse, and heat recovery solutions, particularly for retrofitting existing CNI facilities.
Enable Heat Recovery & Reclaimed Water: Actively facilitate the integration of data centre excess heat into district heating networks and accelerate the development of "purple pipe" reclaimed water infrastructure.
Bent Jensen, EVP and divisional CEO for Grundfos Commercial Business Services: “Expanding data centre infrastructure is a key strategic lever for the government and for businesses. The UK challenge is not whether data centres should be built but how they are built and how to operate them efficiently. With clear standards, coordinated planning, and the political will to act, UK can continue to attract digital investment while reducing pressure on scarce resources. This is essential for UK to gain a competitive advantage.”
The report stresses that by proactively integrating sustainable resource management into the planning and operation of its Critical National Infrastructure, the UK can safeguard its resources, ensure public support, and truly cement its leadership in a sustainable, digital future.
