The data centre deal raises unanswered questions, but any investment is positive.

Northumberland Labour embraces all forms of investment in Northumberland and remains dedicated to striving for optimal plans to benefit residents. However, it is essential not to be swayed solely by substantial financial projections.

During a recent briefing, the Council Leader acknowledged the potential to generate hundreds of jobs at the site, a notable shift from the previously touted thousands within the past week. It is worth noting that data centers themselves typically provide minimal employment opportunities, with an average of up to 50 jobs per site across Europe. While we hold onto optimism for the creation of indirect jobs, it is crucial to recalibrate expectations. Initial estimates of 8,000 jobs, then revised to 3,000, along with associated housing and infrastructure plans, may need reevaluation given the limited job prospects.

A significant unresolved query, due to reasons of “commercial sensitivity,” pertains to the £110 million capital payment. This payment, disbursed over several years subject to predefined milestone criteria, aims to eliminate the Council’s current buyback clause on this vital parcel of land. There remains uncertainty about the realization of this payment, emphasizing the importance of scrutinizing the specifics.

The development of the site will evolve gradually, contingent upon the interest of prospective “partners” in establishing a presence in the data center. Should these entities not express interest, construction may be unnecessary, impacting the anticipated instalments from the mentioned £110 million figure.

Scott Dickinson MBE Leader of Northumberland Labour said: “The devil is in the details, and unfortunately, these intricate specifics deemed commercially sensitive by the Council cannot be disclosed, leading us to cautiously welcome the recent developments.

Historically, we have witnessed the Council swiftly announcing partnerships like British Volt and Recharge, only to face delays in funding and then collapse. Presently, Blackstone stands as the latest partner, with a notable change being their financial backing. Understandably, communities in Northumberland and opposition Councillors harbor reservations regarding the project’s execution due to the lack of transparent information available. But everyone wants something to succeed.

The sudden nature of these announcements and the surrounding secrecy raise questions about potential electioneering motives. While we hope for swift progress, the limited transparency restricts many stakeholders to a ‘wait and see’ stance, creating uncertainty for all but a privileged few. It would have been beneficial for Leaders to receive more detailed briefings to instill confidence within their groups.

Our commitment to supporting investments in Northumberland remains unwavering, fostering bipartisan backing for previously rejected initiatives. It is essential to emphasize the necessity of collaborative efforts across party lines to ensure the council’s effectiveness in serving the people of Northumberland. Investors recognize the potential impact of electoral changes on projects, underscoring the importance of comprehensive cross-party engagement and information dissemination for any significant agreements.”