HS2 notice to proceed throws civils a lifeline

Aaron Morby 4 years ago
Share

The Government has issued HS2 with the formal notice to proceed with phase one works throwing the industry a major lifeline amid the coronavirus crisis.

HS2, in turn, has now signed off the four major civils contracts, worth a total of £12bn.

A dozen firms involved can now start work immediately, progressing detailed design, site preparation works and placing key subcontracts.

Contractors have been reviewing their ability to work within Public Health England guidelines to ensure the health, safety and wellbeing of the workforce.

To date, the four main consortia have focused on undertaking scheme design and site preparation, including pricing and scoping.

Work can now transition from scheme design and preparatory work, to full detailed design and construction, creating thousands of new jobs.

Main works civil contractors and packages


  • SCS Railways (Skanska, Costain, Strabag) – £3.3bn

Euston Tunnels and Approaches

Northolt Tunnels

  • Align JV (Bouygues, Sir Robert McAlpine and VolkerFitzpatrick) – £1.6bn

Chiltern Tunnels and Colne Valley Viaduct

  • EKFB JV (Eiffage, Kier, BAM Nuttall, Ferrovial Agroman) – £2.3bn

North Portal Chiltern Tunnels to Brackley

Brackley to South Portal of Long Itchington Wood Green Tunnel

  • BBV JV (Balfour Beatty, VINCI) – £4.8bn

Long Itchington Wood Green Tunnel to Delta Junction and Birmingham Spur

Delta Junction to West Coast Main Line Tie-In (Handsacre Junction)

Mark Thurston, CEO of HS2, said: “In these difficult times, today’s announcement represents both an immediate boost to the construction industry – and the many millions of UK jobs that the industry supports – and an important investment in Britain’s future

“HS2 has been over ten years in development and design.”

He added: “While the country’s focus is rightly on defeating COVID-19, the issuing of Notice to Proceed today ensures that our contractors and their supply chains have the confidence that they can commit to building HS2, generating thousands of skilled jobs across the country as we recover from the pandemic.”

The long-awaited decision was greeted with relief among major contractors.

Leo Quinn, Balfour Beatty Group chief executive, said: “Notice to proceed provides certainty for many businesses up and down the UK, and will drive investment in skills and capability for current and future generations.”

He added that preparatory works were due to start imminently with main construction to commence in earnest in the second quarter of 2021.

All sites will be fully compliant with UK Government guidance for safe working practices in relation to social distancing.

At construction peak, Balfour Beatty/Vinci will employ a workforce of over 8,000, many of whom will be locally employed.

In addition, Balfour Beatty VINCI will offer approximately 400 apprenticeship and graduate opportunities.

Stephen Fox, chief executive, BAM Nuttall said: “The Notice to Proceed for HS2 is extremely positive news, particularly at this difficult time for the country.”

Skanska estimated its consortium contract alone would create over 6,000 jobs. This is made up of 1,500 in the joint venture and over 4,800 in the supply chain.

Costain’s share price jumped over a third in early trading after the news.

Latest news

Morgan Sindall to build former Willmott Dixon leisure job

New contractor appointed on
14 hours ago

Graham consortium wins £400m Manchester job

Equitix consortium to now work up DBFO plans for University of Manchester’s Fallowfield Campus
10 hours ago

Keltbray looking to sell infrastructure business

£378m turnover rail, energy and highways business up for sale
21 hours ago

Innovative viaduct building method used for first time in UK

HS2 contractors will build nine viaducts in Delta Junction using special cantilevered process
21 hours ago

Unite buys London site to fast-track 444-bed student scheme

£800m to be spent on London development pipeline in next five years
21 hours ago

CITB awards £2.5m of contracts to management consultant

Three outsourced deals in the last year for "project leadership and management consultancy"
21 hours ago

Village centre approved for 6,000-home new town plan

Hampshire's Welborne Garden Village plan has been in the pipeline for two decades.
20 hours ago

£3m fine after cherry picker demolition death

Court rules after tragedy during decommissioning of gas rig
21 hours ago

BAM plans wave of job cuts at UK Construction arm

Co-op Live arena plunges Bam Construction to £19.5m first-half loss
2 days ago

Robot tunnel builder goes into administration

Hypertunnel was hoping to revolutionise how underground structures are built
2 days ago

Wates to build £86m Guildford Council housing scheme

40% of the 248 homes will become council homes under partnership deal
2 days ago

“Scrap CITB” say three quarters of construction firms

Payroll giant Hudson Contract calls for CITB to be absorbed into new Skills England training body
2 days ago

£100m Prestwich Village revival approved

Vinci and Willmott Dixon in chase for Muse-led regeneration scheme
2 days ago

Carbon negative asphalt aggregate trialled on M11

Skanska and Tarmac test CO2 absorbing aggregate material on stretch of Essex motorway
2 days ago

Father and son sentenced over covid construction loan fraud

Bristol builders given suspended jail sentences over bogus Bounce Back Loans
2 days ago

Beck Interiors files administration notice

Supply chain has suffered delayed payments from £139m-turnover luxury fit out specialist
3 days ago

Green light for York Central civil service office hub

£60m office project accelerates York Central goods yard redevelopment
3 days ago

Blenheim House Construction enters administration

Administrators looking at options on present projects
3 days ago

Profits rise at Esh Group with more to come

Contractor confident about year ahead as market conditions move in right direction
3 days ago

Piling specialist Van Elle sees housing orders rise 30%

Mark Cutler says firm on course to deliver 10% annual sales growth
3 days ago

HS2 to spend £100m shutting sites where work never started

Remediation of sites no longer needed for cancelled Phase 2 will take three years
4 days ago

Willmott Dixon wins £61m deal for new Army dog unit

Contractor to revamp Kendrew Barracks in Rutland
3 days ago

Stockport advances 4,000-home Town Centre East plan

Council seeks consultants to steer plan for 280-acre area in the city
3 days ago

ISG sale imminent as buyers set-up UK holding company

South African nutrition entrepreneur and Australian partner primed to take over
4 days ago

CR Construction wins £210m Manchester towers

Construction to start next year on four blocks ranging from nine to 34-storeys
4 days ago

Southern Housing to rationalise supply chain following merger

Firms put on alert for £1.7bn construction framework renewal
4 days ago

Decision delayed on 52-storey Isle of Dogs tower

Hong Kong developer plans 460 flats block next to Millwall Inner Dock
4 days ago

Go-ahead for £850m North London estate rebuild

Flagship Edmonton housing estate redevelopment will deliver 2,000 new homes
4 days ago

Mace lands £184m Oxford Science Park contract

Contractor to build trio of laboratory and office buildings
5 days ago

Worker paralysed in 30ft fall during electricity pylon demolition

Specialist firm fined £240,000 after court hears linesman attached lanyard to a loosened steel section
4 days ago

Contractor services