A Gwent manufacturer has promised new jobs and investment in Chepstow after announcing plans to relocate its UK headquarters from Newport to a site in the area.

AluK (GB), which designs and engineers aluminium building systems, is currently based on a site at Celtic Way, Newport.

Its move to the former Mabey Group site at Newhouse Industrial Estate is being made to enable 'significant expansion plans'.

Mabey Group used the site as a renewables part of the business constructing towers for wind turbines. It announced in 2014 that it was trying to find a buyer in the renewables sector for the site but had to close the site in 2015 when a buyer did not come forward.

The new AluK facility will increase assembly and production capacity, supporting innovations in product designs and technology, as well as training, showcasing products and warehousing and office space.

AluK’s managing director Russell Yates said: “Our decision to come to this larger site in Chepstow is essential so we can keep growing.

“Over the past three years we have outgrown our facilities in Newport and the Newhouse site means we can now invest in new state-of-the-art manufacturing plant and create more jobs.

“We have offered everyone in Newport the chance to come to Newhouse and we will be creating new jobs as well, so it’s an exciting opportunity for us and the South Wales region.

"We will also be working closely with Monmouthshire County Council and the Enterprise Directorate to help deliver further growth to the area.”

Paul Matthews, chief executive of MCC, described the move as a 'real coup' for the local authority.

He said: "I am delighted to welcome AluK to Monmouthshire. I am really impressed by the company’s vision and values, and welcome their decision to not only invest in this region, but also to continue to grow their business"

The site was formerly owned by Mabey Group. Its chief executive Juliette Stacey said: “We were determined to find a quality organisation committed to providing real, long-term investment in Chepstow, and in AluK we have found just that.

"Our focus is on our skilled factory teams and specialist engineers at Lydney where we design and manufacture bridges for the UK market and export around the world.”

AluK was set up in Crickhowell in 1994 under the name Beaufort. It moved to its Celtic Way site in 2011 from a base at Queensway Meadows on the other side of the city. The business changed its name to AlUK in 2013.

In 2014 it applied to Newport City Council for permission to increase the size of its Celtic Way site by more than 75,000 sq ft, to include a new painting facility.