Scape Group has more than quadrupled the value of its flagship framework, with five separate lots up for grabs worth a combined £5.5bn.
The National Construction framework will replace the current £1.25bn Major Works framework, which has had Willmott Dixon as its sole contractor since it was first procured in 2005.
Scape said the new framework would provide more choice for its public sector clients, with more bids now expected from contractors following the abandonment of the single-firm model.
The three regional lots – Wales, Scotland, and England and Northern Ireland combined – will include jobs valued between £2m and £20m. The Welsh and Scottish lots will be worth up to £500m, while the combined England and Northern Ireland lot will be worth up to £1.5bn.
Two UK-wide lots – one for work between £10m and £50m, the other for jobs over £50m – will also be worth up to £1.5bn.
The new structure, which was established following discussions with contractors, will only allow firms to win up to two regional lots or one of the UK-wide lots. This means at least four firms will share the £5.5bn bonanza.
Asked about the change of format for the framework, Scape chief executive Mark Robinson told Construction News: “It’s been successful but having a single-supplier model will also have limitations. If we want to grow and provide additional services to the public sector we need to have a different strategy.”
He added that he expected more firms to bid for places on the framework once an OJEU notice was issued in June.
“The feedback was that it’s difficult when there’s only one opportunity to justify the investment needed to bid,” he said.
“Now there are five options that can justify that investment so it will have a really positive effect on the market.”
Winning bidders will be announced in January 2017 with the framework set to go live in May 2017.
The current Major Works framework has delivered more than 60 public sector projects, with another 100 in progress.