A British startup has launched what it describes as the capital's biggest industrial facility since the Second World War, signaling a notable shift in the nation's manufacturing landscape.
Isembard has opened a 160,000-square-foot, four-story factory and headquarters on Mandela Way in Southwark, London. The facility will produce components for drones, rockets, robotics, submarines, and jet engines, with clients including US defence technology group Anduril, Babcock International, and the British government. Currently employing 35 staff, the company expects to grow its workforce to 200 by the end of next year.
Chief Executive Alexander Fitzgerald explained that establishing such a substantial facility in London allows the two-year-old startup to recruit the machinists and specialists in AI and robotics engineering it requires. He noted the capital's appeal as a location rich in talent. The site, located roughly a mile from Tower Bridge and adjacent to the A2 route connecting London to Dover, spans an area equivalent to about two football pitches. Developed by British Land for last-mile delivery purposes, the property had remained vacant until Isembard signed its operating agreement less than three months ago.
Where to begin with this industrial revival
The resurgence in defence and artificial intelligence investment is fueling a wave of advanced manufacturing. This summer, the UK Ministry of Defence opened a drone testing facility in Swindon, Wiltshire - a site that once produced Spitfire fighters during the war and later served as a Honda car plant before closing five years ago. Other defence companies and government bodies are likewise scouting for idle or abandoned factories to expand their manufacturing capabilities.
Property groups are also stepping up defence-related investments. Sirius Real Estate has deployed several hundred million euros across the UK and Germany over the past 18 months on defence-linked acquisitions, with plans to raise that figure to €1 billion. Isembard, named after the renowned Victorian engineer Isambard Kingdom Brunel, aims to disrupt the fragmented parts supply chain - traditionally dominated by small businesses - through a network of software-driven factories serving critical industries.
What's driving this manufacturing push
The company has already raised more than $50 million from investors including Union Square Ventures, an early backer of Twitter. A recent round from existing investors valued the business at approximately $500 million. It plans to secure additional funding for expansion and currently operates 15 factories across the UK, US, France, and Germany, most held by franchise partners.
Fitzgerald emphasised the broader significance of the venture: "Manufacturing is the root of our national security, prosperity and sense of purpose. The fact that nobody has opened a factory like this in London since the Second World War tells you how far our industrial base has been allowed to shrink." He stressed that "reshoring production is the job of the next decade." Business Secretary Jonathan Reynolds welcomed the factory, describing it as "exactly what the reindustrialisation of Britain is about - bringing manufacturing back to our country, supporting our critical industries, and creating highly skilled jobs across the nation."