Construction will start this month on the ‘Access for York’ project to create a new 600-vehicle park at Poppleton Bar and double the size of the Park and Ride site at Askham Bar to 1,100 spaces.

Balfour will build the terminal buildings to the BREEAM ‘Very Good’ sustainability rating, and redevelop a former landfill site as part of the Askham Bar expansion.

Access improvements at the A1036 and A59/A1237 junctions will also form part of the works which will complete in Spring 2014.

Work will also involve statutory service diversions, earthworks, a new bus terminal as well as highway, footpath and subway construction.

Councillor Dave Merrett, Cabinet Member for Transport, Planning and Sustainability, City of York Council, said: “The Access for York project is critical to the future economic prosperity and environmental wellbeing of the city, so awarding this contract to Balfour Beatty is a pivotal moment for the city.

“The £22.7m overall project represents one of the largest single investments in the City’s transport infrastructure since the northern ring road was built, and we look forward to working with Balfour Beatty during the development of this scheme.”

Managing Director of Balfour Beatty’s North East Delivery Unit, Eddie Tribe, said: “We have a great deal of experience in working within both environmentally sensitive and congested urban areas, so we are looking forward to combining these areas of expertise on this project.

“Community engagement is also really important to us, so we will be working closely with City of York Council to ensure that members of the local community and the travelling public are kept well informed about forthcoming works.”