"Telford is at the heart of UK Defence" - Minister visits site behind next generation of tanks and armoured vehicles
Source: gov.uk (2025-01-09)

Telford’s skilled manufacturing base is helping equip soldiers with high-tech equipment and drive the government’s growth mission, Defence Minister Maria Eagle has said.

- State-of-the-art facility in Telford plays a key role in delivering cutting-edge armoured vehicles to the British Army.
- Investment in defence has attracted over £56 million for defence manufacturing facility in Telford.
- New Defence Industrial Strategy to help secure Britain’s growth mission and create high value jobs across UK.
Telford’s skilled manufacturing base is helping equip soldiers with high-tech equipment and drive the government’s growth mission, Defence Minister Maria Eagle has said.

Her comments came on a visit today to Rheinmetall BAE Systems Land (RBSL)’s Hadley Castle Works Factory in Telford, where she met crucial defence procurement staff and chaired a roundtable with defence industry leaders from the Telford area, as part of consultation for the new Defence Industrial Strategy (https://gbr01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.gov.uk%2Fgovernment%2Fpublications%2Fdefence-industrial-strategy-statement-of-intent%2Fdefence-industrial-strategy-statement-of-intent&data=05%7C02%7CTomer.Cohen100%40mod.gov.uk%7C46e1719a585a4364d7ff08dd30be2e03%7Cbe7760ed5953484bae95d0a16dfa09e5%7C0%7C0%7C638720315580755721%7CUnknown%7CTWFpbGZsb3d8eyJFbXB0eU1hcGkiOnRydWUsIlYiOiIwLjAuMDAwMCIsIlAiOiJXaW4zMiIsIkFOIjoiTWFpbCIsIldUIjoyfQ%3D%3D%7C0%7C%7C%7C&sdata=GPaQ1BQ7BR4gapBxOT%2FjNuQ%2B8frm2NIRZBONf8NU2mc%3D&reserved=0).

The site is at the forefront of producing the Army’s newest tank, the Challenger 3, which is at the heart of the Army’s armoured warfighting force and will serve as the most lethal tank ever used by British Armed Forces.

Under a £950 million contract, Challenger 3 production has generated nearly 300 highly skilled jobs within RBSL, including 130 engineers and 70 technicians, as well as an additional 450 roles supported across the UK supply chain.

Contracts like this are a key part of the UK Government’s Plan for Change, safeguarding national security whilst raising living standards across the UK with good, skilled, productive jobs.

Defence investment continues to make a substantial contribution to the local economy, supporting over 1,500 skilled jobs and nearly 40 apprentices and graduates in Telford and Wrekin.

Minister for Defence Procurement and Industry, Maria Eagle MP, said:

Telford is at the heart of UK defence, and I was pleased to witness first-hand how our defence industry is equipping the Armed Forces with 21st-century armoured fighting vehicles.

In the face of global threats, the upcoming Defence Industrial Strategy will drive economic growth, boost British jobs, and strengthen national security.

£5 billion is being invested in equipping the British Army with 148 Challenger 3 tanks and 623 Boxer armoured vehicles, planned to be in service by the end of 2030. These investments continue to solidify the UK’s position as a global leader in defence innovation and manufacturing.

Will Gibby, Managing Director of RBSL, said:

We are proud to welcome Maria Eagle MP to our Telford facility. Through programmes like Boxer and Challenger 3, RBSL is committed to providing sovereign capability for the UK, supporting the British Army, and investing in the workforce of tomorrow through our apprenticeship and graduate schemes. Today’s visit highlights the value of UK-based manufacturing and the expertise we bring to the defence industry.

Nick Taylor, Head of Combat Vehicles at DE&S, the MOD’s procurement agency delivering Challenger 3 and Boxer said:

This has been a great opportunity for the Minister to experience the close collaboration that exists between RBSL, the Army, and DE&S colleagues to re-establish armoured vehicle manufacturing in Telford and deliver our two major programmes – Challenger 3 and Boxer.

The Defence Industrial Strategy underlines the government’s commitment to forging long-term partnerships with the defence industry. This strategy will ensure economic growth, regional prosperity, and resilience by supporting skilled jobs and apprenticeships.

Defence investment continues to make a substantial contribution to the UK economy. Over 1500 (200 RBSL and 1,497 Leidos) businesses across the UK are sustained through the supply chain because of defence investment.

Findings from the British Army’s Oxford Economic Report highlight the major contributions Armed Forces spending makes to the UK economy. For every £1 directly contributed by the Army, a total of £2.70 is stimulated through multiplier effects.

There has also been £169 million in R&D investment and the upskilling of over 12,000 recruits through apprenticeship programmes, with 1,400 enrolled in higher education schemes.

Alongside her visit to the factory and industry talks, Minister Eagle also had the opportunity to tour the cutting-edge Defence Fulfillment Centre (DFC). The £83 million DFC at MOD Donnington plays a crucial role in supporting the UK Armed Forces by ensuring the efficient delivery of critical equipment and supplies across the globe.

Operated by DE&S in partnership with Leidos, the DFC exemplifies innovation within defence logistics and supports operational readiness. It is one of two major storage and distribution locations for the Ministry of Defence, the other at MOD Bicester, with a new facility at Longtown currently in construction.

Simon Hutchings, VP Logistics Commodities Services Transformation Programme (LCST) at Leidos, said:

I am immensely proud of what Leidos has achieved to date on the development of the Defence Fulfilment Centre in Telford and as the prime integrator for LCST. The flexible capacity and strategic network resilience we’ve established have significantly bolstered defence resilience and enhanced our ability to support the war fighters with better, more agile adaptive logistics.

Since 2015, the LCST, based at the DFC, has delivered over £1 billion worth of products to the UK Armed Forces, getting everything from food rations to boots exactly where they need to be, at the right price and at the right time.

The LCST contract has helped bring the UK MOD into 21st-century, by identifying how the private sector can be leveraged to support UK Defence in distributing equipment to military personnel so they’re able to carry out their critical duties, all while delivering significant value for money to the taxpayer.