Highways England launched a new era for road building today
(7 November 2018) 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. It contains incentives for results which
include:
-
Shorter duration and more accurate management of
roadworks to help drivers better plan their journeys and
experience predictable journey times
-
Buying more efficiently and buying locally - using the
capability of a region to benefit the region
-
Encouraging innovation, for example lighting and signs
designed to need less maintenance, reducing disruption and
improving road worker safety
-
Reduced road noise and increased environmental
benefits
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.
Driving value for money, innovation and delivery certainty, the
Regional Delivery Partnership model has been designed to start a
long overdue transformation within the infrastructure
construction sector.
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):
Lot 1 – South West & Midlands - £200m – two
partners: Geoffrey Osborne Ltd; and Griffiths / Farrans Joint
Venture (Alun Griffiths (Construction) Ltd and Northstone (NI)
Limited trading as Farrans Construction)
Lot 2 – South East & East - £350m - two partners: John
Graham Construction Ltd; and Volker Fitzpatrick Ltd
Lot 3 – North West, North East, Yorkshire & Humber -
£200m - two partners: Amey Sir Robert McAlpine Joint
Venture (Amey OW Ltd and Sir Robert McAlpine Ltd); and North
Midland Construction Plc
Lot 4 – South West - £800m - two partners: Galliford Try
Infrastructure Ltd; and Taylor Woodrow
Lot 5 – Midlands - £1,250m - two partners: BAM Nuttall Ltd;
and Skanska Construction UK Ltd
Lot 6 – South East - £1,100m - two partners: BAM Nuttall
Ltd; and Balfour Beatty Civil Engineering Ltd
Lot 7 – East - £2,800m - three partners: Costain Ltd;
Galliford Try Infrastructure Ltd; and Skanska Construction UK
Ltd
Lot 8 – North West, North East, Yorkshire & Humber -
£2,000m - three partners: Balfour Beatty Civil Engineering Ltd;
Costain Ltd; and Kier Highways Ltd
The work is arranged into 18 Packages of schemes, awarded
to Delivery Integration Partners in bands of up to £100m (lots 1
to 3) and over £100m (lots 4 to 8).
Ends