Microsoft pulls out of Nscale's Loughton AI data centre as grid power slips to the 2030s

Microsoft has cancelled its deal to anchor Nscale's planned AI data centre in Loughton, Essex, the Telegraph reported, after grid officials told Nscale they did not expect a power supply for the site until the 2030s. The project, billed by the UK government in 2025 as the country's largest sovereign AI datacentre and originally due online next year, loses its only publicly announced customer just as Nscale pursues a US IPO at a potential $35B valuation. Nscale says it remains committed to Loughton, is exploring alternative power sources, and that the grid issue does not affect its other contracts. Sharing the story, Sam Bowman wrote: "Billions of pounds lost on a single project because we can't connect it to the grid for half a decade."