Classic & Vintage - What wheels for a Carlton frame being "updated?

I have a Raleigh International frame by Carlton with great chrome lugs, fork ends and stay ends that I want to put back on the road as a weekend driver. I have a nice set of Normandy hubs in 27" alloy rims that would give a good old school look, I could buy a new set of wheels with a freewheel from Harris and put on a 7 speed or go full "modren" with a Shimano cassette and 8 or 9 speeds and indexed bar ends. I don't mind friction and I have had good luck indexing to old 6 speed freewheels.

I would have to extend the Axel and dish the wheel to put 7 speeds the Normandy hubs and I'd have 27's on a bike that came with 700's but it would have great bling.

I am going to have the frame refinished and need to redo the dropout spacing before that if it is to be done. (it is currently 130)

I'd appreciate the input of the masters.

Since you are already out to 130mm, I vote for either an 8-speed or 9-speed cassette with friction barcons. As much as I like old equipment, I am the first to admit that the modern cassette/freehub system is vastly more reliable than the old screw-on freewheels which grace my bikes. In particular, with the drive-side bearings located farther outboard, you are less likely to break an axle, as I have done twice, once with a solid and once with a hollow quick release. Both axles I broke were 120mm O.L.D. units for 5-speed freewheels -- the problem is far more acute with 126 or 128mm overlock 6-speed and 7-speed freewheels, and I do not want to contemplate what might happen with a rare 8-speed screw-on freewheel.

Thanks John. I have bent a couple of axels but not broken any. Shimano Freehubs are my preferance for newer bikes. I do like the look of the wide flanges though.

I'll look for a Shimano hub that looks appropriate to the bike at Harris this weekend. I think I have some old Ultegra 600 hubs that were polished.
Ron