Your browser is no longer supported

For the best possible experience using our website we recommend you upgrade to the newest version of your browser.

Your browser appears to have cookies disabled. For the best experience of Construction News, please enable cookies in your browser.

Welcome to the Construction News site. As we have relaunched, you will have to sign in once now and agree for us to use cookies, so you won't need to log in each time you visit our site.
Learn more

Bam Nuttall faces £36.5m repairs claim over Cambridgeshire Busway

An independent report looking into the defects on the Cambridgeshire Guided Busway has concluded that Bam Nuttall should pay for repairs, totalling £36.5m.

A council committee will now look at the findings of the report conducted by Capita into defects on the busway, which the contractor finished in August 2011.

Capita’s report stated that the defects represented a breach of contract by Bam Nuttall.

It recommended the contractor should repair the defects at an initial cost of £36.5m as well as paying for the legal fees.

Principal defects Capita found in its latest report included: moving guideway foundations; concrete breaking along the guideway; and steps developing at the joints of the guideway’s ladders.

The council will decide next week whether it will support a joint approach to the issue, which would see the council negotiate with Bam Nuttall at the same time as starting legal proceedings.

Repair works to the busway would be carried out in sections to keep the route open.

The claims are part of a long-running dispute between the contractor and the council over the busway, starting in 2011 when the contractor handed over the busway to the council.

An initial claim for £55m was launched by the council who stated Bam Nuttall had handed the project over two years late.

Bam Nuttall issued a £43m counterclaim in 2012 but agreed to pay a £33m settlement a year later.

The original contract for the work to be carried out by Bam Nuttall was valued at £83.9m.

Around £126m had been budgeted to pay for the entire Busway scheme including construction and other costs such as land acquisitions.

After Bam Nuttall agreed to pay the settlement, the council said the cost of the scheme had risen to almost £152m, largely because of legal fees incurred fighting the case.

This meant the project was still £26m over budget as of August 2013.

The council launched a fresh legal battle with the contractor in 2015 after faults were found in the busway.

Defects were investigated by Capita in 2015 and the latest report will be discussed by the council on the 29 November.

Construction News has contacted Bam Nuttall for comment.

Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions. Links may be included in your comments but HTML is not permitted.