Amazon has made direct investments of more than £56 billion in the UK since 2010.

Amazon Web Services (AWS) has announced plans to invest a further £8 billion in the UK over the next five years as part of a major expansion of its data centre operations.

The investment, running from 2024 to 2028, will support AWS’s continued growth across the country and is expected to contribute £14 billion to the UK’s Gross Domestic Product (GDP) over the same period.

This substantial commitment, which will support an average of more than 14,000 full-time jobs annually, will directly benefit local businesses involved in AWS’s data centre supply chain, ranging from construction and engineering to telecommunications and facility maintenance. The investment marks another chapter in AWS’s long-term efforts to drive economic productivity across the UK, where it has been operating since launching its first UK data region in 2016.

AWS’s presence in the UK has steadily expanded, with investments of over £3 billion from 2020 to 2023 supporting growing customer demand. The company now operates three Availability Zones and various Edge Locations throughout the country. This new £8 billion commitment will bring AWS’s total UK investment to over £11 billion by 2028.

Organisations from all sectors, including major corporations such as AstraZeneca, Deliveroo, NatWest Group, and Cancer Research UK, are already leveraging AWS technology to reduce costs, increase agility, and drive innovation. From startups to educational institutions, AWS’s cloud infrastructure has become a crucial part of the UK’s digital ecosystem.

Cloud computing’s impact on the UK economy is already significant. According to independent analysis, the sector contributed over £42 billion in 2023—equivalent to 1.6% of the nation’s GDP, outpacing even the automotive manufacturing sector. AWS’s latest investment will further enhance the country’s digital infrastructure, providing the foundation for technological innovation, from artificial intelligence to enhanced computing power.

AWS Vice President for Europe, the Middle East and Africa, Tanuja Randery, emphasised the transformative potential of this investment. “The next few years could be among the most pivotal for the UK’s digital and economic future, as organisations of all sizes increasingly embrace technologies like cloud computing and AI,” she said. “We’re proud to announce our plans to invest £8 billion in digital and AI infrastructure over the next five years to support the transformation of the UK’s digital economy.”

As cloud computing becomes increasingly central to the operations of UK businesses, AWS say it is playing a vital role in driving cost efficiencies and innovation. Public First’s research revealed that 84% of AWS customers have saved on costs, while 82% believe the cloud has enabled them to take their business global. Additionally, businesses report using AWS has sped up the deployment of new software by an average of 27%.

Beyond innovation and cost savings, cloud adoption is also helping organisations meet sustainability goals, with 78% of AWS customers saying they have improved energy efficiency by shifting to cloud-based infrastructure.

The success of this digital revolution, however, depends on the workforce having the right skills. AWS has committed significant resources to upskilling the UK workforce, providing free cloud computing skills training for more than 31 million learners globally, including in the UK. With the rise of artificial intelligence, AWS has further committed to delivering free AI skills training to two million people by 2025.

Amazon’s continued investment in the UK, combined with AWS’s expanded infrastructure, promises to solidify the nation’s position as a leader in the digital economy. As demand for cloud and AI technologies accelerates, AWS’s new investment will ensure the UK remains at the forefront of technological advancement.

As a whole, Amazon has made direct investments of more than £56 billion in the UK between 2010 and 2022. This includes both capital expenditure (such as the infrastructure they build, like theirfulfilment centres, corporate offices, and data centres), and operating expenditure (such as the jobs they create in the UK).

Amazon employs 75,000 people in the UK – including jobs in a variety of corporate and R&D functions in Amazon and AWS, as well as their operations teams in their data centres, fulfilment centres, sort centres, and delivery stations – across over 100 sites, including more than 25 UK fulfilment centres and corporate offices in six UK cities.

Main photo: Amazon Web Services branding. Photo by Eóin Noonan/Web Summit Rio via Sportsfile CC BY 2.0 https://creativecommons.org/licenses/by/2.0/