Bosses of Ironbridge Gorge Museum were today celebrating after scooping a £10 million grant that will secure the future of Blists Hill Victorian Town for generations to come.

The historic tourist site will have a major transformation, designed to attract an extra 100,000 visitors a year and bring a much needed economic boost for Telford & Wrekin.

The money will be handed over during the next 18 months in a joint package from Advantage West Midlands and the European Regional Development Fund.

Blists Hill Victorian Town is the flagship visitor attraction within the Ironbridge Gorge, the only World Heritage Site in the West Midlands.

It is internationally recognised for its accurate interpretation of the trades of a small manufacturing and mining town at the end of the Victorian era.

Mark Pearce, partnerships director at Advantage West Midlands, said: “It is vital that we develop and invest in this wonderful site to preserve it for future generations and to promote it to a worldwide audience.

“Tourism is vital to the economic well-being of the region and is a growing sector of the regional economy.

“With the eyes of the world on the UK in six years’ time for London 2012, investing in attractions such as Blists Hill means that they will be well equipped to handle an influx of tourists before, during and after the Olympic Games.”

Barrie Williams, chairman of the Ironbridge Gorge Museum Trust, said: “This investment will ensure that Blists Hill Victorian Town has every chance to flourish for another 30 years and tell the remarkable story of industrial discovery and development to local residents and visitors alike.”

Michael Duppa, from the Government Office for the West Midlands, which awarded the £3.5 million contribution from the European Regional Development Fund, said: “This project will encourage further regeneration in the Telford area and will ultimately create economic benefits and more jobs.”

Work will start almost immediately. It will include a new entrance and visitor centre, with cafe and shop, additional space for car parking and a park-and-ride service, and a narrow- gauge railway.

By Peter Johnson