Birmingham Highways Maintenance and Management Sub-contract

BHL is intending to commence a competitive procurement process to appoint a new sub-contractor that will carry out the operation, rehabilitation and maintenance of the Birmingham highway infrastructure until the expiry of the PFI contract in June 2035. To ensure there is no interruption to the provision of the highway services pending the appointment of a new sub-contractor BHL intends to extend the interim arrangements with Kier until [August 2023]. As part of the extension arrangements it is proposed that Kier will carry out certain highway services in relation to the Commonwealth Games that are being held in Birmingham in 2022. Subject to the relevant approvals being obtained it is estimated that the contract notice for the new sub-contract will be issued in January 2022 The total value of the new sub-contract is estimated to be in the range of £1.1bn - £1.2bn real terms GBP (excluding VAT).