'They will move, regardless of sovereignty ambitions': How Trump’s US became the big winner of the UK’s 4.4x energy price gap

AI firms are abandoning the UK for the US and beyond due to soaring power costs

by · TechRadar

News By Efosa Udinmwen published 24 April 2026

(Image credit: AI Generated)

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  • High energy costs are forcing AI workloads out of the UK
  • Cheaper electricity is becoming the deciding factor for AI deployment
  • The US infrastructure advantage is accelerating the shift of AI workloads

British businesses are paying more than four times as much for electricity as their American counterparts, and the AI industry is taking notice.

According to CUDO Compute, 20% of UK firms have already moved AI workloads out of the country due to high power costs.

The gap between where businesses want to run AI and where they can actually run it is widening rapidly.

Article continues below

Why British AI firms are looking overseas for cheaper power

“What we are seeing is a growing tension between where businesses want to run AI and where they actually can,” said Matt Hawkins, CEO of CUDO Compute.

"If it is cheaper or easier to run workloads elsewhere, they will move, regardless of sovereignty ambitions."

A third of UK organisations say energy costs are limiting their ability to scale AI operations, according to the survey of over 700 senior AI decision-makers.

When asked which markets look most attractive for new AI cluster capacity, 72% of UK respondents pointed to the United States.

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