Regardless if you are running your own servers or if you have a hosting vendor, it matters where your hosting is physically located and where you have backup hosting.  It is generally smart to setup a small backup hosting account and get that info included in your domain records.  Here are a few reasons.

Search engines look for clues to determine which country index your site should be included.  If they see that your site is hosted in Canada they will be inclined to include it in the Canadian results.  If you want UK traffic you should go with UK hosting.

Also you should worry about backups.  In case there is a power failure you should have your backup located on another power grid.  In America there are 3 grids (Eastern, Western, Texas).  Most big hosting vendors do have generators and should not be impacted by power failures.  But stupid things have happened like a hosting vendor having a power surge which automatically switched it to the generator.  Since it was not a power failure no one realized the system was being powered by the generator.  The generator ran out of fuel and crashed everything.  In other words if you believe in backups you should make it as safe as possible.

Also by using backup hosting that is physically located far away you will not be at risk for the ever dreaded backhoe failure.  In case you don’t know what a backhoe failure is, that is when a construction worker using a big machine called a backhoe digs in the wrong spot and rips out the cables that data is transmitted on.