UK studio plans face a new rival: AI data centres
As the streaming boom cools, some UK property developers are reportedly reassessing film and TV studio projects in favour of data-centre demand.
Sophie Bennett
Writer ·

The UK's production boom is facing a new kind of competition: the infrastructure behind artificial intelligence. Film and television studios once looked like one of the surest property bets in the streaming era. Now, some developers are weighing whether server racks offer a stronger return.
The Guardian has reported on UK developers reconsidering studio plans as demand for AI data centres accelerates and the peak-TV expansion becomes more uncertain.
A shift in the property signal
During the streaming boom, high-end television created huge demand for soundstages, production offices and post-production space. The logic was simple: global platforms needed more content, and Britain had crews, tax incentives and proven production infrastructure.
That logic is less automatic now. Streamers are commissioning more selectively, interest rates have changed development economics, and AI companies need power-heavy facilities at a scale that can tempt landowners away from creative uses.
Why it matters for production
If studio projects stall or convert to data-centre use, the effect could be felt by crews, suppliers and regional production hubs that were counting on long-term screen work.
The story is a neat symbol of the moment. AI is not only changing scripts, music and visual effects; it is competing for the physical spaces where entertainment might otherwise be made.
Referenced coverage: Our reporting and analysis draws on coverage first reported by The Guardian. The NE Times publishes original reporting and independent analysis written by our editorial team. We credit and link the outlets whose primary reporting informed this article.
The NE Times is an independent news and analysis publisher. Our articles combine factual reporting with clearly-written, impartial analysis. Content is for general information and does not constitute professional advice. Disclaimer.
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