European datacenter boom threatens higher energy bills unless governments intervene

Datacenters are forecast to consume a growing share of Europe's electricity by 2035, potentially pushing up consumer prices and prompting governments to impose price caps or restrictions on bit barns, according to Moody's. The credit rating agency is keeping tabs on the financial implications for datacenter operators and electricity networks. It predicts that while power consumption by server farms is relatively modest today, these facilities are set to become major drivers of electricity demand by 2035, requiring utilities and network operators to invest in generation and grid capacity. Massive compute sheds still accounted for "a low single-digit share" of electricity in most of the largest European markets in 2025, typically about 2.5 percent. But some of the major markets such as the UK and France are set to see accelerating growth in the number and size of facilities that could substantially increase their share of electricity consumption. …