The firm is up against a tough field of bidders including BAM Construct, Bowmer & Kirkland, Interserve, Miller Construction and Sir Robert McAlpine Construction.

But according to project sources it has swooped in with a ‘highly competitive bid’ that puts it ahead of rivals on cost.

The project award is due shortly and comes as Balfour Beatty’s senior management team reviews its bidding criteria on jobs after being forced into a £50m profit warning because of problem projects in several of its regions.

The University of Sheffield gained planning approval to build the engineering faculty late last year despite some local opposition because the project will see the Edwardian wing of the former Jessop Hospital for Women demolished.

But problems with the site look set to rumble on as national heritage charity SAVE has vowed to launch legal action against the council to halt the clearance of the site.

It could take months for any case to be heard by a judge, delaying demolition.

The university said it examined potential alternatives to demolition, and considered several other locations, but the preferred choice was the best for the university, the city and the region.

Architect RMJM designed the building and is joined on the project team by cost consultant Turner & Townsend and Arup as M&E consultant.