The cash injection will allow a further 125?million bars to be produced in Birmingham
Cadbury is moving almost all production of Dairy Milk bars back to the UK after a £15million investment in a huge boost to post-Brexit Britain.
It already makes 35,000 tons of the iconic chocolate at its famous Bournville plant, where it was first produced 115 years ago.
But the cash injection to improve the site will allow a further 12,000 tons — 125?million bars — currently made each year in Germany and other European plants to be produced in Birmingham from 2022.
The move by parent firm Mondelez International, which bought Cadbury for £11.5billion in 2010, will also secure 40 full-time, seasonal jobs.
The company, which also makes Oreo and Maynards Bassetts sweets, said £11million of the funding will go towards creating a new production "line of the future".
Louise Stigant, UK MD for Mondelez, said: At a time when UK manufacturing is facing significant challenges, it’s never been more vital to secure the long-term competitiveness and sustainability of our business.
We now have an opportunity at Bournville to further invest in its future as the home and heart of Cadbury by bringing more Cadbury Dairy Milk production to Bournville, Stigant said. This investment will continue the modernising of our production processes at Bournville and ensure we are meeting the need for a highly efficient and robust supply infrastructure for our iconic Cadbury Dairy Milk tablets.
The firm has invested £80million in Bournville since 2014, improving “production efficiency” by 30 per cent.
The latest funding will keep it as the “home and heart” of Cadbury, Ms Stigant added.
Trade Unions have welcomed moving chocolate production back to Birmingham, saying it represented a "vote of confidence in the UK workforce".
Joe Clarke, Unite national officer for food, drink and agriculture said: The announcement by Cadbury of a new line at the Bournville site to handle 12,000 tonnes per annum of additional chocolate, which equates to 125,000,000 Cadbury Dairy Milk bars, is a vote of confidence in the UK workforce.