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Sheffield shortlists Amey and CarillionMouchel for highways PFI

Sheffield City Council has shortlisted Amey and CarillionMouchel for its Sheffield Highway PFI scheme, it announced yesterday.

Sheffield City Council secured conditional approval for £674.1M of government funding to revamp the city’s streets - the single biggest allocation of PFI credits for any local authority scheme. These credits will be paid to the Council with interest as additional grants over 25 years, and provide a total of £1.25bn of new money for the city.

“Choosing the best contractor to undertake this work is crucial and we have to make sure we get it right. We’re looking forward to working with these two bidders over the next few months,” said council leader Paul Scriven.

“The public has told us that improving the roads and pavements of Sheffield is a major priority for them. We have listened to this, and the ‘Streets Ahead’ Project will bring major benefits for all residents and businesses across the City. Like them we want to see fewer potholes in our roads; better street lighting; better maintenance of highway trees; and a reduction in trips and slips.

“We realise that this is an uncertain time for those members of staff who will transfer to the chosen contractor. We are therefore keen to ensure that the Council appoints a contractor who will not only deliver the project to the standards we require, but will also be a good employer.”

Over the coming months, both bidders will refine their bids, allowing them to address any outstanding issues before the Council enters into the contract, with work expected to begin on the contract in August 2011.

Scheme background

In March 2008, Sheffield City Council was selected, along with Isle of Wight Council and the London Borough of Hounslow, as a Pathfinder for the Department for Transport’s Highway Maintenance PFI Programme and invited to submit an Outline Business Case (OBC) to the DfT.

The Council’s OBC was approved by the DfT and by HM Treasury in March 2009, securing conditional approval to fund the full amount requested by the Council to carry out the work to improve Sheffield’s highways.

The Highway Maintenance PFI Project will enable the improvement and ensure the on-going maintenance throughout the city of:

  • Carriageways;
  • Footways;
  • Highway structures, including bridges and retaining walls;
  • Streetlighting;
  • Traffic signals, road signs, and marking;
  • Fences, barriers and other street furniture;
  • Highway trees;

and will include services such as street cleaning, winter gritting and landscape maintenance.

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