Network Rail announces preferred bidders for £5bn rail system contracts
January 31, 2019 – Network Rail has announced preferred bidders for the next decade of rail system contracts in Scotland and the South of England.
Works under the contracts will include track, points, overhead lines and signalling.
While Colas Rail and Aecom have secured contracts pertaining to track and rail system alliances in the South, Babcock Rail, Arup and Arcadis have won the contracts for works in Scotland.
The 10-year contracts, meant for an initial five-year period with an option to extend, have been divided into three new geographically-focused alliances between Network Rail, designers and construction suppliers.
The alliances are North Alliance (Scotland route); Central Alliance (London North West, London North East and East Midlands route) and South Alliance (Anglia, South East, Wessex, Western and Wales routes).
Network Rail track programme director Steve Featherstone said: “Reaching this important milestone ensures we will have a stable foundation for the delivery of the Great Britain’s core railway infrastructure for the next decade.
“Our new strategy allows us to better align to the routes and ultimately, deliver for customers.”
Bidding continues for the Central Alliance and a preferred bidder will be announced after final verification and internal approvals.
Colas Rail CEO Jean-Pierre Bertrand said: “We are extremely proud of our team being recognised for the quality of the tender submission.
“We are fully committed to delivering major improvements to the UK railways in the South working together with our partners Aecom and Network Rail over the upcoming 10 years.”
The three contracts are worth nearly £5bn over the term of the contracts.
Babcock CEO Archie Bethel said: “Building on our long term relationship with Network Rail, we are delighted to have been selected as preferred bidder for this major programme of railway systems work, with our alliance partners Arcadis and Arup.”
Aecom civil infrastructure CEO for Europe, Middle East and Africa Colin Wood said: “We’re extremely pleased to be named, along with our partners Colas Rail, as a preferred bidder for the track and rail system alliance.
“We now look forward to working with Network Rail to deliver vital upgrades to Great Britain’s railway infrastructure over the next 10 years.”