The Kingskerswell Bypass was one of 20 schemes given initial approval in the Chancellor’s Autumn Statement last year.

Preliminary work will start later this month, with the main construction phase set to begin in the autumn.

Devon County Council is expected to make a formal announcement naming the winner shortly.

The firm will build over three miles of dual carriageway linking Newton Abbott and Torbay and a flyover section at Penn Inn.

Transport Secretary Justine Greening said: “The Department for Transport has invested over £76m in this scheme, which will cut congestion on Devon’s roads, as well as benefiting the environment and the local economy.

“This bypass will provide an alternative to driving through the middle of the village which currently sees very heavy traffic, particularly over busy holiday periods.

“The people of Kingskerswell will no longer have to put up with endless traffic jams, exhaust fumes and trucks thundering through the village and the road will really open up Torbay for tourism, creating jobs while providing a more pleasant drive for locals and visitors alike.”

Work will be completed in December 2015.

Meanwhile, contractors bidding for the A43 Corby link road scheme will also find out who is the victor this week.

Construction of the £34m project is scheduled to get underway this June, with Birse, Hochtief and Lagan among the hopeful bidders.

The scheme consists of a four mile dual carriageway running from the A6003 near Barford Bridge to the Stanion roundabout at the A43/A6116 junction.

On completion, the Corby Link Road will become the new alignment for the A43.