'It's fantastic news' - Why brand new factory will put Telford at 'foundation of British defence'

Last week, the German-headquartered defence firm announced a new factory development based at the RBSL Hadley Castle Works in Telford, which is set to begin by 2027 and could create up to 400 jobs in Shropshire and in the wider supply chain.

The facility will manufacture gun barrel systems for both the UK and NATO countries - the first time these systems have been built in the UK for almost a decade.

The company says the move is part of the "Trinity House" agreement between the UK Ministry of Defence of the Federal Republic of Germany, signed in 2024, and designed to improve and enhance defence co-operation between the two nations.

"This major investment positions Rheinmetall at the heart of Britain’s defence industrial revival, supporting both the modernisation of the British Army and the UK’s role in strengthening NATO’s collective readiness," said a spokesperson for the company. 

"With production set to begin by 2027, the UK will once again join the ranks of nations capable of manufacturing large-calibre barrels - vital for national defence and global export. 

"The new facility will use British steel and advanced manufacturing to deliver nextgeneration barrel systems for both UK and allied platforms. With plans to inject over £400 million into the UK economy over the next decade and create more than 400 jobs - directly and indirectly via supply chain - this will revitalise the local industry and boost prosperity in Telford and beyond."

Rheinmetall says its priorities for this year include scaling up production of its Boxer and Challenger 3 programmes, both of which are also being built in Telford currently. 

The firm says its efforts are being underpinned by major investment in apprenticeships, graduate programmes and industrial placements at the Hadley Castle site to ensure "long term capability and sustainability".

‘’This isn’t just an investment - it’s a statement”, said Armin Papperger, CEO and Chairman of Rheinmetall Germany.

“We’re delivering the infrastructure, the technology, and the ambition to place the UK at the forefront of global defence manufacturing. With the location now confirmed and critical equipment already on order, Rheinmetall is moving at pace to turn vision into reality.”

The move was welcomed by Wrekin MP Mark Pritchard, who described the investment as "fanastic news for Shropshire".

‘’This is fantastic news... for local suppliers and for the employment and skills this major investment will bring," he said.

"I’ve worked tirelessly with Rheinmetall senior management to secure this investment for the area and I’m pleased that ministers have listened to our joint representations. This is a big day for the county as a whole.”