The roads body is abandoning asset support style contracts to replace the Area 7 managing agent deal with a more traditional contract model bringing control of maintenance in-house once again.

It made the decision to use Area 7 as a test-bed for a different approach after announcing at the start of the year that it would rerun five ASC regions bid races.

Previous bids were rejected because of a mismatch between contractor’s low bid prices and quality of service expected.

The new one-off framework is now being estimated at £500m over four years, rather than a £300m costing used in previous estimates.

It will see Highway England shifting from relying on a main contractor to manage the repair and maintenance regime to directly managing the process in-house.

Highways England bosses believe the move will given them greater insight into day-to-day delivery issues and better cost models for future tender assessments.

The latest works framework is one of four that are going out to tender for Area 7.

A 15-year maintenance and response contract was advertised in August, worth a potential £15m-£35m a year.

Contracts for design work and for specialist services are also being prepared.

The packages will cover: Civil engineering works including earthworks; fencing, landscaping; road restraints; drainage and ducts; pavements, kerbs, footways, paved areas; traffic signs and markings; road lighting and electrical work for lighting; structures — piling and retention walls and structural concrete; waterproofing; painting; and any other similar duties.

The contracts will all begin on 1 July 2016, once the current Managing Agent Contract with Aone+ has expired.

The new contract arrangements in the East Midlands bring with them new employment opportunities, with Highways England looking to boost its in-house capability through the recruitment of new staff – with a significant number expected to transfer from the current Area 7 provider Aone+.

Click here for access to prequal documents.