For years, the global cloud computing market has been dominated by a handful of US-based hyperscale providers like Amazon, Microsoft and Google. With their vast resources and early mover advantage, these tech giants rapidly took control of providing cloud infrastructure and services to organisations around the world, including in the UK.
As a result, British organisations were left with little choice but to become beholden to the data residency policies of these major US cloud providers in order to keep their data within the UK’s borders. However, data residency alone is not sufficient to guarantee true data sovereignty and protection from overreaching legal jurisdictions.
While residency policies dictate where data can be stored and processed geographically, data sovereignty goes a crucial step further – ensuring data is subject only to the legal jurisdiction and protections of the nation where it resides.
This distinction has become critically important due to laws like the U.S. CLOUD Act, which allows American law enforcement to pursue data held by U.S. companies like the hyperscale cloud giants, regardless of its physical location. For UK businesses operating in this landscape, hosting data on a hyperscaler exposes them to privacy, security and compliance risks.

Recent revelations have brought this issue into sharp focus. In June 2024, Microsoft disclosed to Scottish policing bodies that it cannot guarantee the sovereignty of data hosted on its public cloud infrastructure, even when stored in UK data centres.
The disclosure highlights a critical gap between the presumed and actual level of data sovereignty provided by major cloud services, exposing significant risks for UK public sector organisations.
These risks are particularly acute for law enforcement. Regulatory non-compliance could lead to penalties and loss of public trust. Sensitive information becomes vulnerable to foreign surveillance and legal demands, potentially compromising investigations and informant safety. Complex compliance challenges may arise from conflicting legal requirements across jurisdictions.
Ultimately, this lack of true data sovereignty could undermine the digital autonomy, security, and operational control of critical information in both the public and private sectors.
Sovereign Cloud: Putting Data Back Under UK Control
To address this challenge head-on, there has been growing demand across the UK for genuinely sovereign cloud solutions that reside fully under British legal jurisdiction and data protection laws. These offerings ensure vital data is shielded from access by foreign powers and legal regimes, remaining beholden only to UK authorities.
At Civo, we have created a sovereign cloud service tailored specifically for this need in the UK market. Our cloud platform is architected from its foundations with data sovereignty as the core tenet. It empowers British businesses with:
- Assured jurisdictional control over their data
- Robust security capabilities aligned with the UK’s strict data laws
- The ability to seamlessly collaborate with domestic partners without legal risk
- Assured compliance with all relevant UK data regulations like GDPR
By locating our UK cloud region infrastructure exclusively within the UK and adhering to the strictest security protocols, we ensure customer data never leaves British soil or falls under foreign jurisdiction. Our sovereign cloud provides clarity that organisations are fully complying with UK laws and regulations.
This stands in contrast to hyperscaler clouds based in the US or other nations, which are beholden to foreign legal authorities like the CLOUD Act that can compel data access across borders.
Unlocking New Opportunities Through Sovereignty
Beyond assuring regulatory compliance, sovereign cloud can be a powerful enabler of new digital services and economic opportunities across the UK. When data sovereignty is guaranteed, British businesses can freely share information and forge partnerships with domestic organisations and industries without legal exposure.
This collaborative data environment could propel entire sectors forward through joint data-driven initiatives that would otherwise be too difficult. From smart city projects crunching urban data, to healthcare AI analysing medical records, to new fintech services – assured data sovereignty clears the path.
Sovereign cloud also provides critical stability and resilience by future-proofing operations against disruptive events. An organisation’s data governance posture remains secure under UK jurisdiction, no matter what unforeseen regulatory shifts, geopolitical conflicts or other upheavals may occur down the line.
For the UK’s digital economy at large, nurturing cutting-edge sovereign cloud capabilities allows the nation to self-determine its own technological future – rather than being beholden to the national interests and overreaching legal jurisdictions of foreign tech giants.
Reshaping the UK Cloud Landscape
While the US-based cloud hyperscalers like AWS, Microsoft and Google have established an early stranglehold globally, sovereign cloud alternatives like Civo are offering British enterprises an alternative path. One that returns full legal jurisdiction, data control and economic sovereignty back to the UK.
As data sovereignty rapidly rises as a board-level imperative across both the public and private sectors, we expect demand for genuine sovereign cloud solutions to surge. Enterprises across the UK are waking up to the reality that bolted-on data residency policies provide an insufficient safeguard for their mission-critical data and cloud workloads.
In the years ahead, this sovereign cloud movement could fundamentally reshape the UK’s cloud marketplace. Innovative, homegrown providers able to deliver robust data sovereignty protections aligned to British laws – while catalysing new digital services and cross-industry collaboration – will be ideally positioned to lead this new cloud paradigm.
Leading Britain’s Sovereign Cloud Charge
At Civo, we are proud to be at the vanguard of this sovereign cloud evolution in the UK. We have invested into architecting our platform as a truly sovereign offering from day one – not an extension to existing cloud providers’ infrastructure beholden to other legal jurisdictions.
