Kier has bagged a £40m design deal for maintenance and renewals works across motorways and trunk roads in the South-west.
The contract is the latest of the new-style asset delivery contracts to be awarded by Highways England and will cover roads in Cornwall, Devon, Somerset and Gloucestershire for the next five years.
The new set-up sees Highways England take direct responsibility of routine maintenance and delivery of capital renewal schemes in-house, replacing the old management agent contracts that saw the chosen contractor in charge of the planning and delivery of work.
The five-year South-west deal will begin in July 2017 and see Kier prepare technical designs and support for capital renewal schemes and prepare design briefs for repairs to major roads.
The contract will cover Highways England’s Areas 1 and 2 and become the client’s largest operating area, covering 370 km of road.
Kier has been working as Highways England’s service provider on Area 1 covering Cornwall and Devon since 2006, while Skanksa had been the partner for Area 2 covering Somerset, Avon and Gloucestershire.
Highways England said bringing the planning of maintenance and renewals in-house allowed it to engage with its supply chain directly and drive down cost and waste.
Executive director for commercial and procurement David Poole said: “We are delighted that Kier Highways will be part of our new asset delivery supply chain community across the South-west.
“This contract not only builds on the new way of working already taking place in the East Midlands and North of England but also demonstrates our ongoing commitment to increasing Highways England’s capability and control over the whole road network.”
Kier Highways executive director Dave Wright said: “This award is testament to the expertise we’ve provided through our design services work in Area 7 and we are pleased to be continuing to support Highways England in its new approach.
“Collaboration for both clients and suppliers is at the heart of our business and this new approach allows us to continue our successful relationship with Highways England.”