Leeds City Council approves Microsoft data centre at Skelton Grange
The 15,000sqm development on a former power station site in Stourton will include three data centre buildings.
Leeds City Council has unanimously approved plans for a large Microsoft data centre on the site of a former power station.
Skelton Grange, a 15,000sqm scheme in Stourton to the south east of Leeds, will comprise three data centre buildings plus data halls, offices and “landscaping improvements.”
Real estate firm Harworth bought the site for around £3m in 2014. Microsoft bought an initial 48 acres from Harworth in June 2024 for £106.6m.
Microsoft had aimed to finish planning by the end of last year. Site clearance is due to begin at the end of this year, with construction starting in early 2027.
In a report to the council, Microsoft said: “Data centres host and support the digital infrastructure that underpins modern life, from patient records and emails to product data and financial systems.”
Since the start of the year the government has classed data centres as critical national infrastructure, making them national priorities to support AI growth and economic development. Large schemes can be designated Nationally Significant Infrastructure Projects (NSIPs), allowing them to bypass local planning hurdles.
The planning application also includes EV charging, electricity substations, urban drainage systems and office and support facilities.
Microsoft has restated its commitment to powering its data centres with 100% renewable energy and phasing out diesel backup power by 2030. It is also designing centres to be cooled with outside air to reduce water use.


