Highways England awards northern deals to Kier, CH2M and Costain

The UK’s Highways England has awarded four new-style road contracts worth over €360 million for road works in northern England. Two 15-year maintenance and response contracts expected to be worth up to €314 million have been awarded, one to Kier Highways and the other to a joint venture of CH2M and Costain. The Asset Delivery contracts, which will start on 1 April, will see Kier Highways operating in the rugged county of Cumbria. The CH2M-Costain JV operating in the North East will deliver routine h
Finance & Funding / December 15, 2016
The UK’s 8100 Highways England has awarded four new-style road contracts worth over €360 million for road works in northern England.

Two 15-year maintenance and response contracts expected to be worth up to €314 million have been awarded, one to Kier Highways and the other to a joint venture of CH2M and Costain.
 
The Asset Delivery contracts, which will start on 1 April, will see Kier Highways operating in the rugged county of Cumbria. The CH2M-Costain JV operating in the North East will deliver routine highway maintenance, repairs to defects, emergency incident response and severe weather services.

Highways England will directly manage both routine maintenance and the delivery of capital renewal and improvement schemes. This marks a change from the previous way of working, bringing key functions in-house and taking greater control of the road network, according to a statement from Highways England.

In addition, two new five-year design services contracts, with an expected value of over €45 million, have been awarded to Amey OW in the same areas as the maintenance contracts. From 1 April, duties will include preparing technical designs and undertaking supporting work for capital projects from an initial scheme feasibility phase through to the as-built phase.

The Asset Delivery maintenance and response, and design services contracts will commence in these areas when the current Managing Agent Contracts with A-one+ in the North East and Kier in Cumbria and North Lancashire come to an end.

“The awarding of these four new contracts builds on the new way of working already taking place in the East Midlands,” said David Poole, executive director for commercial and procurement at Highways England.

Further contracts will be awarded for specialist goods and services in the coming months and suppliers will be appointed to the new framework for delivering construction works in late January.

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