The news comes as data centres are designated Critical National Infrastructure (CNI) by the UK Government in the first move of its kind since 2015.
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Andy Burnham, the Greater Manchester Mayor and Cllr Mark Hunter, leader of the Stockport Council were among those present as work began to demolish existing buildings on the ex-industrial site in preparation for the new data centre, which is expected to be completed in 2026.
Burnham said: “As we continue our mission to ensure world-class digital infrastructure for the region, this new data centre will play a pivotal part in our fast-growing and diverse technology ecosystem, reinforcing our position as a global leader in AI and data centre capacity.
“This data centre can also raise aspirations and opportunities for young people, providing a window on the GM economy that they’ve never had before.
“Kao Data’s plans to engage with schools and colleges and support technical career pathways for local students through the Greater Manchester Baccalaureate is exciting, and I’m looking forward to seeing those plans become reality.”
The facility, the company says, will further cement Manchester’s growing reputation as a major hub for UK digital infrastructure and technology innovation, and ties into the GMCA’s Greater Manchester Digital Blueprint by extending the region’s digital infrastructure.
Upon completion, the data centre will deliver computing capabilities to regional and international organisations, providing them with one of Europe’s most sustainable hosting environments, powered by 100% certified renewable energy.
The new data centre is also expected to bring numerous high-net-worth employment opportunities to the area, creating both direct and indirect jobs across construction, engineering and operations, while attracting further tech professionals to the region.
Doug Loewe, CEO of Kao Data added: "Beginning the development stage of our new data centre marks an important milestone, not only for Kao Data, but for technology in Stockport and Greater Manchester.
“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.”
By 2026, Greater Manchester is expected to emerge as one of the UK and Europe’s largest computing and technology hubs, Kao Data says.
The region will benefit from a strategic location that includes access to cutting-edge connectivity, an industrialised power grid, a talented, tech-savvy workforce and well-established AI Start-up and research communities.
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