UK invests £1.5bn to build new ammunition factories by 2027
The UK government has launched an ambitious £1.5 billion programme to modernise its defence industry by building new ammunition factories. The initiative aims to create a permanent production base for munitions, though much of the funding depends on private investment and overseas demand. Rheinmetall, the company leading the project, has already begun work on a factory in Telford, set to open in 2027.
The government’s plan includes at least 13 potential factory sites, with construction on the first facilities expected to start in 2026. However, the success of the programme relies heavily on export orders rather than steady UK demand. Planning documents highlight fluctuating defence needs and encourage proposals to explore civilian and international markets.
The programme’s long-term impact depends on securing private investment and overseas buyers. With construction set to begin in 2026, the first factories could reshape the UK’s defence manufacturing capacity. The government has yet to confirm how much of the funding will directly support domestic companies.
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