Award

Asset Delivery (AD) Area 14 Maintenance & Response (M&R) Contract

NATIONAL HIGHWAYS

This public procurement record has 1 release in its history.

Award

12 Aug 2025 at 09:06

Summary of the contracting process

This procurement process involves National Highways as the buying organisation. The contract titled "Asset Delivery (AD) Area 14 Maintenance & Response (M&R) Contract" falls under the industry category of Highway maintenance work, with a focus on construction and roadworks. It covers regions including Northumberland, Tyne and Wear, County Durham, and North Yorkshire. The current status of the procurement is complete, and the award has been finalised. Notably, the contract has undergone a Deed of Variation, effectively incorporating additional road sections into the Maintenance and Response Contract, which will now expire on 1 June 2028, aligning with National Highways' procurement strategy. The procurement method utilised was limited, without a prior call for competition, justified by regulatory allowances within the Public Contracts Regulations 2015.

This tender presents significant opportunities for businesses engaged in highway maintenance and roadworks, particularly firms experienced in managing large-scale infrastructure projects. With a total estimated contract value of £165,630,000, businesses capable of leveraging resources for engineering services, surface work for highways, and electrical installation are well-positioned to compete. Large-scale contractors like CH2M HILL United Kingdom and Costain Limited, which are currently active suppliers on this project, exemplify the type of business entities that could find strategic growth through involvement in such projects, enhancing their portfolio in public infrastructure development. The alignment of contract terms with National Highways' broader asset delivery and procurement strategies further ensures long-term engagement potential for successful bidders.

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Notice Title

Asset Delivery (AD) Area 14 Maintenance & Response (M&R) Contract

Notice Description

This VEAT Notice relates to a Deed of Variation to a National Highways' Maintenance and Response Contract. This Contract currently provides and undertakes all cyclical and reactive maintenance, incident response, defect rectification and severe weather delivery on the trunk roads and motorways within Northumberland, Tyne and Wear, County Durham, North Yorkshire (National Highways Area 14) (the "Contract"). Duties also include maintenance of roadside technology, the provision of traffic management for the contractor, maintenance and incident response activities, and traffic management for others who may be working on the network. The variation will add the eastern section of the A69 from the Cumbria/Northumberland County boundary and the A19 Dishforth to Tyne Tunnel into the Contract which is currently maintained under a Design Build Finance & Operate ("DBFO") contract which are due to expire on 31 March 2026 and 23 February 2027. Consequently the total value of the Contract will increase by approximately 26%. It will also shorten the Contract which will have a new end date of 1 June 2028 instead of 31 March 2032 in order to align with the procurement process for the next Maintenance & Response contracts.

Lot Information

Lot 1

A Design Build Finance Operate (DBFO) contract covers Section of A69 from Northumberland county boundary. National Highways therefore must appoint an alternative maintenance contractor and it considers that the scope of these works is already included within this existing Maintenance and Response Contract which is adjacent geographically. Therefore these roads will be incorporated into the existing Maintenance and Response (M&R) Contract for Area 14 of the Strategic Road Network following the award of the Deed of Variation. This together with the need for national alignment of the expiry dates for all of the M&R contracts, ready for their re-procurement, means that the term of the Area 14 Contract will be shortened and will have a new end date of 1st June 2028 instead of 31st March 2032. The new overall estimated Contract value will become PS 165,630,000.

Procurement Information

The modifications to the Contract fall within the permissible grounds set out under Regulation 72(1)(e) of the Public Contracts Regulations 2015 in that the modifications are not substantial within the meaning of Regulation 72(8) of the Public Contracts Regulations 2015 because: The inclusion of Design Build Finance and Operate (DBFO) roads into the Contract does not render the Contract materially different compared to when it was originally procured. The type of work originally required of the Contract (i.e. maintenance and response) is the same as that which it will carry out on the previous DBFO stretches of the Strategic Road Network, it is just a case that the total lane coverage to be maintained under the Contract increases. The updated estimated Contract Value is also within the original estimate set out in the Contract notice for the Contract. Adding the additional roads would not have changed the outcome of the original procurement in any way. The Contract will be fully operated in accordance with their current terms and pricing; As the current Contract will be operated for the new roads on the same terms and pricing, this does not alter the economic balance of the Contract in favour of the contractor; The change does not considerably alter the scope of the Contract as the works and services provided will remain unchanged and the roads have been included in this Contract because they are adjacent in terms of geographical scope also. Any increase in scope is also mitigated by a shortening in Contract term and in any event, the updated estimated Contract Value is also within the original estimate set out in the Contract notice for the Contract (which was PS503,075,685); This is not a change in contractor. In addition, National Highways also considers that the exemption at Regulation 72(1)(a) would apply to the addition of the DBFO stretch of the A69 as the work will be carried out in accordance with the Contract's current terms, on current pricing, in accordance with the existing change mechanism within it and the new Contract value will be within the original estimated Contract value. National Highways considers that 72(1)(b) would also apply. This permits additional services or supplies that have become necessary and were not included in the initial procurement where a change of contractor cannot be made for economic or technical reasons and another supplier/procurement would cause significant inconvenience or substantial duplication of costs for the contracting authority; and where any increase in price does not exceed 50% of the value of the original Contract. The Deed of Variation ensures continuity of service on the Strategic Road Network and aligns with National Highways' wider asset delivery and procurement strategy, thereby safeguarding public value and network integrity. The Contract is being shortened to better align with the re-procurement strategy for all Maintenance & Response contracts. It would provide significant technical difficulties and duplication of procurement costs for National Highways to procure a contractor simply for this short stretch of network given the current re-procurement strategy.

Publication & Lifecycle

Open Contracting ID
ocds-h6vhtk-0585b8
Publication Source
Find A Tender Service
Latest Notice
https://www.find-tender.service.gov.uk/Notice/047885-2025
Current Stage
Award
All Stages
Award

Procurement Classification

Notice Type
Award Notice
Procurement Type
Standard
Procurement Category
Works
Procurement Method
Limited
Procurement Method Details
Award procedure without prior publication of a call for competition
Tender Suitability
Not specified
Awardee Scale
Large

Common Procurement Vocabulary (CPV)

CPV Divisions

45 - Construction work

71 - Architectural, construction, engineering and inspection services


CPV Codes

45233130 - Construction work for highways

45233139 - Highway maintenance work

45233140 - Roadworks

45233141 - Road-maintenance works

45233210 - Surface work for highways

45310000 - Electrical installation work

71300000 - Engineering services

Notice Value(s)

Tender Value
Not specified
Lots Value
Not specified
Awards Value
Not specified
Contracts Value
£165,630,000 £100M-£1B

Notice Dates

Publication Date
12 Aug 20256 months ago
Submission Deadline
Not specified
Future Notice Date
Not specified
Award Date
31 Mar 20178 years ago
Contract Period
Not specified - Not specified
Recurrence
Not specified

Notice Status

Tender Status
Complete
Lots Status
Not Specified
Awards Status
Active
Contracts Status
Active

Contracting Authority (Buyer)

Main Buyer
NATIONAL HIGHWAYS
Contact Name
Not specified
Contact Email
info@nationalhighways.co.uk
Contact Phone
+44 03001235000

Buyer Location

Locality
GUILDFORD
Postcode
GU1 4LZ
Post Town
Guildford
Country
England

Major Region (ITL 1)
TLJ South East (England)
Basic Region (ITL 2)
TLJ2 Surrey, East and West Sussex
Small Region (ITL 3)
TLJ25 West Surrey
Delivery Location
Not specified

Local Authority
Guildford
Electoral Ward
Stoke
Westminster Constituency
Guildford

Supplier Information

Number of Suppliers
2
Supplier Names

CH2M HILL UNITED KINGDOM

COSTAIN

Open Contracting Data Standard (OCDS)

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