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

Five win £400m MoD national capital works deal

Five contractors have been selected for a new Ministry of Defence framework to design and build up to £400m-worth of construction projects across the UK defence estate after a two-year procurement process.

The Defence Infrastructure Organisation has appointed five firms for its National Capital Works Framework.

The companies are Balfour Beatty, Carillion Construction, Kier Graham Defence, Miller Construction and Wates Construction.

The shortlisted contractors who missed out on the deal were Bam Construction, Interserve, Lend Lease Construction, Morgan Sindall and Skanska.

Contracts have been awarded to the companies that will deliver projects valued up to £50m. The total value of the framework is worth up to £400m over an initial four-year period, with the option to extend up to a further three years.

The Kier-Graham joint venture will see Kier undertake projects in England and Wales, while Graham will carry out work in Northern Ireland and the two partners will share projects in Scotland.

Procurement of the framework first started in 2011 but has been subject to delays.

Overall there will be seven capital works frameworks, including six regional and one national framework.

The framework will introduce the use of building information modelling to Ministry of Defence construction projects.

This is the second Next Generation Estate Contract Capital Works Framework to be awarded in the past month. It follows the signing of the East Midlands and Eastern England regional framework contract.

Henry Brothers (Magherafelt), Interserve Construction, Mansell Construction Services, Morgan Sindall and Shepherd Construction were named as winners of the Eastern framework last month.

Bidders who lost out on that framework were Babcock Support Services, Leadbitter Group, Lend Lease Construction, Skanska UK and Vinci Construction. 

Kier chief operating officer Steve Bowcott said the firm would add value on “cost-effectiveness, quality and time for the benefit of the MoD” and would employ local resources on each of its projects.

Wates Construction head of government sector Andrew Riggs said: “From building Mulberry Harbours in the run-up to D-Day, through to providing the latest in modern accommodation for Britain’s armed forces, Wates has always sought to work closely with Britain’s defence estate throughout its history.

“This announcement is a significant milestone for us and we are proud to lend our expertise in delivering major projects for the MoD.”

Balfour Beatty executive director Bob Clark said: “We are committed to continuous improvement and have a proud track record of delivering major defence projects including the £280m USAF housing framework for visiting US forces and the £160m flagship programme delivering the Royal Navy’s Training Estate Programme.

“We are looking forward to working with the DIO over the duration of this framework.”

Eight contractors have also been shortlisted for a £250m Scotland Capital Work Framework.

They are Balfour Beatty Group, Henry Brothers (Magherafelt), Interserve Construction, Kier Graham Defence, Lend Lease Construction, Miller Construction (UK), Morgan Sindall and Robertson Construction Group.

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.