Google is looking to develop a data center in Teesside, the UK.

As reported by The Sunday Times, the tech giant is in talks with Teesworks, which is behind a 4,500-acre brownfield regeneration project.

According to The Times, sources “close to negotiations” said that a deal is hoped to be made before Christmas.

No details about the potential data center were shared in the Times report, although Green Street News suggests that Google could be behind the 500,000 sqm (5.38 million sq ft) project proposed for Teesside earlier this year.

In July 2025, reports emerged that the UK government was planning to convert the former steel site in Teesside into a data center project, aiming to establish its second “AI Growth Zone.”

At the time, it was said that the Department for Science, Innovation and Technology was closely involved in negotiations with an unnamed major investor.

The Teesside location, however, is somewhat challenged by an alternative proposal on the site for a blue hydrogen and carbon capture plant by BP.

BP wants to use part of the land to build the blue hydrogen plant, H2 Teeside. Blue hydrogen uses natural gas as part of its production process, but is considered a low-carbon form of energy. Teesworks Limited, along with another group, the South Tees Development Corporation, objected to the hydrogen plant plan, saying a proposed ‘inner zone’ for hazardous installations, something that would be required as part of the BP development, would impose planning restrictions, making it impossible to build a data center nearby.

In August, the data center won planning permission from Redcar and Cleveland Council, meaning a second, more detailed application will be required. At that time, no end user was named.

DCD has contacted Google and Teesworks for comment.