London Underground has appointed Costain and Skanska to deliver a £55m tunnel to link the new Crossrail station to the Bakerloo line platforms at Paddington.
The Costain Skanska joint venture beat other shortlisted bidders Dragados and a Morgan Sindall and Bemo Tunnelling joint venture to the Paddington link tunnel project, which will connect the new Crossrail station to the Bakerloo line platforms.
It will design and build the tunnel, with the construction contract worth around £40m.
LU used its Innovative Contractor Engagement procurement model to select the winning bidder, assessing bids on the value their proposal would add to the project.
It said the winning bid by Costain and Skanska would enhance the value of the Bakerloo line link by 25 per cent by reducing passenger journey times, compared with the initial designs.
The joint venture will also help to reduce the level of disruption caused to customers while the link is being built.
The project will be completed by the end of 2018, in time for Crossrail beginning services to Paddington.
Around 85,000 passengers interchange to and from the Bakerloo line each day, which is set to increase to more than 115,000 when Crossrail starts serving Paddington at the end of 2018.
LU director of capital programmes David Waboso said: “This is the second successful application of the ICE procurement approach, providing both our customers and our business with significantly enhanced value.
“Increasingly, ICE is allowing the market to provide us with better value infrastructure than traditional approaches.”
Crossrail programme director Simon Wright said: “The Bakerloo line link, being delivered by London Underground, is an integral part of Crossrail.
“When complete, Crossrail will significantly reduce journey times from Paddington to the West End, the City and Docklands.”