Artificial Intelligence: Investment
(asked on 2nd July 2026) - View Source
Question to the Department for Science, Innovation & Technology:
To ask the Secretary of State for Science, Innovation and Technology, what assessment he has made of the potential impact of energy regulation policies on the decision of OpenAI to terminate the Stargate UK investment programme.
Answered by
Kanishka Narayan
Minister of State (Cabinet Office) (Jointly with the Department for Business, Innovation, Science and Technology)
The UK continues to be an attractive destination for AI investment as reflected in OpenAI’s ongoing and expanding presence here through its recent announcement for a large permanent office in London, doubling the current OpenAI headcount here.
The UK Government announced measures to provide price support and accelerate planning and grid connections for AI Growth Zones in November, improving the environment for AI infrastructure in the UK.
OpenAI will continue operating in the UK and have confirmed they will bring their second HQ forward in London - a clear recognition of the UK as a global hub for AI innovation. The Government recognises OpenAI’s decision to pause Stargate UK as part of a wider recalibration of its global Stargate programme, rather than a reflection of conditions specific to the UK.
The Government remains committed to supporting large-scale AI infrastructure through the AI Growth Zone programme, including action to reduce energy costs and address regulatory barriers.