This scheme is the second street lighting PFI the consortium is involved in following financial close of the Surrey Street Lighting project at the end of 2009.

Work for the London Boroughs of Croydon and Lewisham will begin in July after the contrast is finalised this Spring.

The deal will see Skanska-Laing take over responsibility for the design, build, finance and operation of the stock of lighting columns and illuminated street furniture across the two boroughs for 25 years.

Skanska will carry out the design, installation and ongoing operations and maintenance works.

During the first five years of the project, the Skanska team will replace approximately 38,000 street lights and 8,000 street signs and bollards.

Work also includes the refurbishment of a further 4,000 street lights.

Steve Sams, Executive Vice President of Skanska Infrastructure Development UK, said: “We, together with our partners, are delighted to have been appointed Preferred Bidder for this important scheme.

“We are looking forward to working together through the next stage and ultimately to provide safer, energy efficient public lighting services for the people of Croydon & Lewisham.”

John Laing’s Head of Transport, Andy Pearson, said: “This is an important scheme which will ensure that communities within the Boroughs of Croydon and Lewisham will have well lit streets.

“Not only will the project strengthen the local economy but it will also create safer streets. We look forward to working with the Councils and Skanska to deliver an efficient, ‘best in class’ and value for money street lighting service to the residents and ratepayers of Croydon and Lewisham.”