Data Centers in Reading

Reading – London's High-Performance Data Hub

Reading is a premier UK data center market for enterprises that require low-latency performance without the cost and footprint constraints of Central London. As the heart of the M4 technology corridor, the region provides an ideal balance of connectivity, power, and geographic stability. This makes it a strategic location for production workloads, disaster recovery, and serving the affluent Thames Valley and Southern England markets.

Reading: At A Glance

Network & Connectivity Ecosystem

Reading's digital infrastructure is mature and highly capable, designed to support the demanding requirements of the financial services and technology companies headquartered in the region.

Carrier Density & Carrier Neutrality Reading is home to 11 data centers operated by 8 providers, as of September 2025. These facilities offer access to a dense ecosystem of national and international network carriers, providing competitive and resilient connectivity options. Carrier-neutral facilities are common, ensuring choice and preventing vendor lock-in.

Direct Cloud On-Ramps There are no direct public cloud on-ramps located within Reading itself. The primary interconnection point for all major cloud providers, including AWS, Google Cloud, and Microsoft Azure, is London. High-speed, low-latency connectivity to London's cloud regions is readily available via dedicated fiber, wavelength services, and private network interconnects.

Internet Exchange Points (IXPs) While Reading does not host a major public internet exchange, its data centers provide low-latency paths to the London Internet Exchange (LINX). Access to LINX allows for efficient and cost-effective traffic exchange with hundreds of networks, improving performance for UK and European end-users. Most significant peering is handled via these connections to London.

Bare Metal Bare metal server availability is strong in the Reading market, providing a solid alternative for workloads not suited for virtualization. Providers like Hivelocity and phoenixNAP offer dedicated server solutions that can be deployed within the region's high-quality data centers.

Power Analysis

Average Cost Of Power The average cost for industrial power in the region is approximately £0.17/kWh, as of September 2025. This competitive rate, combined with a grid increasingly powered by renewables, helps control operational expenses for high-density compute environments.

Power Grid Reliability The power grid serving the M4 corridor is well-engineered and highly reliable. Data centers in Reading benefit from redundant power feeds and access to multiple grid substations, supporting the stringent uptime requirements of modern enterprise applications.

Market Access, Business & Tax Climate

Proximity To Key Business Districts Reading's data centers are strategically located to serve the Thames Valley, a major UK technology and business hub. This proximity offers low-latency connectivity to corporate headquarters in telecommunications, biotechnology, and finance, as well as excellent access to London Heathrow Airport.

Regional Market Reach From Reading, organizations can effectively serve the entirety of Southern England, the Midlands, and Greater London. Its location makes it an ideal disaster recovery site for London-based operations, providing geographic separation while maintaining latency under 1 millisecond.

Tax Advantage For Data Centers The United Kingdom provides a stable corporate tax environment that is attractive for international investment. While the country does not offer specific tax credits or abatements for data center construction or operations, its established legal and financial systems create a predictable climate for business.

Natural Disaster Risk

Reading has a very low natural disaster risk profile, with an INFORM Risk score of 2.1 out of 10, as of September 2025. This geographic stability is a key advantage for building resilient infrastructure and ensuring business continuity.

The area’s primary environmental risks, while minor, include:

• River Flood: The highest individual risk factor, though modern data centers are built outside of designated flood plains.
• Drought: A secondary consideration related to long-term water availability for cooling systems.

Risks from earthquakes, tsunamis, and tropical cyclones are negligible, making Reading one of the safest locations in Europe for critical IT infrastructure.