New defence facility for Telford will create up to 400 jobs on former GKN site
More than 400 jobs are set to be created in Telford at a new defence facility on the former site of GKN.
Rheinmetall, a global leader in defence technology and manufacturing, has announced it is to establish a new UK facility in Telford, further cementing the town's status as a key hub for the UK’s defence sector.
The move has been welcomed by Telford & Wrekin Council which expressed delight at the announcement.
It will be based at the former GKN site in Telford, and will manufacture cutting-edge artillery gun barrels, marking the first time in over a decade that the UK will produce such equipment domestically.
This move aligns with the Trinity House Agreement between the UK and Germany, which strengthens European security and bolsters NATO capabilities.
The major inward investment follows collaborative efforts by the borough council and the UK Government to showcase the area’s strategic advantages, skilled workforce, and strong ties to the UK Ministry of Defence (MOD).
The council said it had worked closely with Rheinmetall throughout the decision-making process, providing tailored support to secure the investment.
The project is expected to generate more than 400 highly skilled local jobs, and deliver an estimated £400 million boost to the economy over the next decade.
Councillor Lee Carter, leader of Telford & Wrekin Council, said: “We are delighted at this news which will deliver hundreds of new jobs for local residents.
“The council has worked hard with Rheinmetall and the UK Government to secure this investment because we’re serious when we say that we want to attract business and the best jobs for our residents.
“The Hadley Castle Works has provided for the nation’s security for generations. Whether that be parts for Spitfires or D-Day landing craft to modern day Boxer armoured vehicles, Challenger tanks and now artillery barrels, the country’s defence is often made in Telford.
"We’re proud to play that role and will continue to do what we can, given our local skilled workforce and strategic location.”
Rheinmetall’s decision complements its existing joint venture with Rheinmetall BAE Systems Land (RBSL) located in Telford, which includes the manufacture of the Challenger 3 tank and the Boxer armoured vehicle.
The company’s new facility will further enhance the UK’s defence manufacturing capabilities and its contribution to global security initiatives.
Telford's Labour MP, Shaun Davies, has also welcomed the move.
He said: "This is fantastic news for Telford. I have said many times before how incredibly proud I am that world-class defence organisations like Rheinmetall choose to operate in our town, not only providing high-quality jobs but also producing cutting-edge tanks and armoured vehicles for the British Army. It’s a genuine win-win for our local economy and the nation’s defence.
“The Government is continuing to deliver on its pledge to invest in our armed forces, and I’m delighted that Telford is playing a key role in that effort. We’ve already seen major steps forward in recent months, from the largest pay rise in history for service personnel to the biggest increase in defence spending since the Cold War. Here in Telford and across Shropshire, this translates into real investment: new jobs, more apprenticeships, enhanced skills, and a boost for local businesses.
“This historic funding boost reflects the Labour Government’s strong commitment to both national security and economic growth — and it places Telford firmly at the forefront of the UK’s future defence industry.
“Huge credit goes to the outstanding workforce here in Telford — their skill, dedication, and reputation for excellence continue to set the standard. I also want to acknowledge the company’s leadership for their vision and determination in pushing this deal forward, and to thank our local council for their work alongside me and the Government to help bring this over the line. It’s good for Telford and good for Britain.”
