Highways England aims for better journeys with multi-billion pound contract awards

Highways England Chief Executive, Jim OSullivan
Highways England Chief Executive, Jim OSullivan

Highways England launched a new era for road building as it announced ground-breaking multi-billion pound contracts encouraging better planned roadworks and more reliable journeys.

The company announced deals with 13 supply chain partners to collaborate regionally to carry out up to £8.7 billion worth of work on England’s motorways and major A roads.

The deals have been set up using a new industry-leading approach, the Routes to Market Regional Delivery Partnership, which incentivises companies to improve safety and journeys on Highways England roads.

In the North West, North East, Yorkshire & Humber, three partners: Balfour Beatty Civil Engineering Ltd; Costain Ltd; and Kier Highways Ltd have been awarded the £2,000m contract

Highways England Chief Executive, Jim O’Sullivan said: “Routes to Market represents a fundamental change in the way we deliver road projects. It will be performance rather than price based, focusing on building the right projects with the best outcomes for road users and the communities we serve.

“It demands a major step up in our supply chain to embrace innovation and team work and in their ability to deliver value.”

The 13 companies – known as Delivery Integration Partners – will be part of the Regional Delivery Partnership working with Highways England. They will develop, design and construct highway projects across England from 2019 through to 2024.

Until now, Highways England has procured work on a scheme by scheme basis. This new approach provides a secure pipeline of work, instilling confidence to invest in skills and employment.

The value of work allocated across the 13 companies is as follows - the values mentioned are shared between suppliers on the lot over a six year period (includes RIS1 budget and RIS2 estimate):