OpenAI Never Visited UK Stargate Site, £20bn Figure Was Hypothetical

OpenAI does not appear to have visited a key site for Stargate UK, the multibillion-pound datacentre project announced during Donald Trump's September 2025 visit to London, according to a Guardian investigation. Freedom of information requests show neither OpenAI nor its partner Nscale met with local authorities at Cobalt Park in North Tyneside, the project's most prominent location.

The findings also reveal that £20 billion of the "potential" £30 billion investment touted by the UK government was entirely hypothetical — calculated based on what the site would need to build infrastructure, not on any commitments from partners.

A Press Release Without Groundwork

Stargate UK was positioned as a major US-UK technology partnership when announced last year. The project would see OpenAI work with Nscale and Nvidia to develop AI infrastructure across Britain, with the Cobalt Park site designated as an "AI growth zone."

But sources with knowledge of the process told the Guardian that the government approached the companies shortly before Trump's visit, asking them to agree to develop the site. "They needed a big announcement," one source said. "It was never really a thing. It was effectively just a government PR stunt."

OpenAI paused the plans in April 2026, citing concerns over regulation and high energy costs. Only Nvidia appears to have visited the North East combined authority overseeing the site, doing so in February 2026 — five months after the announcement.

The £20 Billion Question

In its press release, the government said the AI growth zone was "set to" bring in £30 billion in investment. Of this, £10 billion was committed by Blackstone for a separate datacentre project. The remaining £20 billion represented "potential" investment from "future partners."

When asked how the £20 billion figure was calculated, the government told Spotlight on Corruption it reflected the amount needed to build a datacentre with computing power matching the site's 1.1GW electricity supply. In other words, the government suggested the site would attract £20 billion because it needed £20 billion.

"It is disingenuous for the government to imply that the £20bn for the AI growth zone will be forthcoming, when it reflects the amount needed," said Kamila Kingstone of Spotlight on Corruption.

Infrastructure Gaps

Freedom of information requests also suggest the site lacked a grid connection, instead submitting an alternative power solution that was redacted in documents returned to the Guardian.

John Johnsson, Conservative leader in North Tyneside, said local authorities were blindsided by the announcement. "We were really, really taken aback. We were surprised because we weren't made aware of any of these discussions," he said. "The fundamentals, energy costs, grid capacity and infrastructure do not appear to have been in place to support a project of this scale."

Why it matters

The Stargate UK episode illustrates how governments under pressure to demonstrate AI leadership can announce infrastructure projects before securing basic commitments or conducting feasibility assessments. For business leaders evaluating expansion into new markets, it underscores the importance of distinguishing between political announcements and operational reality — particularly in capital-intensive sectors like AI datacentres where energy infrastructure and regulatory clarity are prerequisites, not afterthoughts.

The details were first reported by the Guardian.