AI Growth Zone bid submitted for Hartlepool and Darlington

The proposal is backed by Jonathan Brash, MP for Hartlepool, and submitted by a partnership including regional developer Hellens Group, a national data centre operator, and an investment firm.

Mr Brash said: “This proposal is an exciting opportunity for Hartlepool to play a leading role in the next generation of digital and technological growth.

“Queens Meadow is a strategically important site for our town, and this bid shows how Hartlepool can attract serious long-term investment that brings skilled jobs, new opportunities for local people, and lasting benefits for our economy.

“What matters to me is that any AI Growth Zone delivers real value for our community.

“Hartlepool has the space, the skills and the potential to make this work, and I am proud to support this bid.”

The plan outlines a two-site development with more than 450MVA of secured power capacity—enough electricity to power over one million homes.

It meets the threshold set by the Department for Science, Innovation and Technology (DSIT) for nationally significant AI infrastructure.

Gavin Cordwell-Smith, chief executive of Hellens Group, said: “This is a once-in-a-generation opportunity to attract long-term, clean investment to the region.

“It brings the potential for hundreds of high-quality jobs, support for digital skills, and major economic impact for both towns.”

The Queens Meadow site, owned by Hellens Group, covers 160 acres, with more than 110 acres earmarked for the proposed scheme.

In Darlington, the proposal includes part of Burtree Garden Village, which aims to combine sustainable housing with innovative employment opportunities.

The bid also identifies potential community benefits, such as a low-carbon district heating system powered by the data centre.

Homes England is Hellens Group’s joint-venture partner on the garden village and also has an interest in Queens Meadow.

Both sites fall within the Tees Valley Combined Authority area and support regional goals for smart infrastructure, low-carbon energy, and advanced manufacturing.

The AI Growth Zone would connect with educational institutions including Teesside University, Hartlepool College of Further Education, and Darlington College.

AIGZs are part of a new UK government scheme to accelerate investment in AI-optimised data centres by offering streamlined planning, targeted incentives, and expanded power capacity.

The Government aims for these zones to become hubs of innovation, skills development, and opportunity—not just storage sites for large data assets.

Local authorities will retain 100 per cent of business rate growth from these zones for 25 years, which is estimated to be between £6 million and £10 million per year.

Construction on the sites would be expected to begin in 2028 if the bid is approved.