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Hospitals, highways and housing brings £177m haul to Kier

13 Feb 15 Kier Group has announced new contract awards totalling £177m, including hospital building work, highways and housing maintenance.

Kier at work
Kier at work

Kier’s construction division has picked up two contracts in the health sector under the Procure 21+ framework, totalling £89m.  

The first is the £63m redevelopment of Birmingham Women's Hospital for the Birmingham Women's NHS Trust. This will include a new build clinical block and refurbishment of the existing hospital building. Kier will complete the work in a number of phases, starting later this year with the construction of the new clinical block, forming a major new extension.

Phase 2 will see the demolition of the north wing of the existing main hospital tower and reconfiguration and refurbishment of existing accommodation. Phase 3 is the construction of a new birth centre and new fertility facilities.

The second health contract that Kier has won this week is for a new £26m emergency and paediatrics wing at Scarborough Hospital for The York Teaching Hospital NHS Foundation Trust. Kier has completed more than 20 projects for this particular trust over the last nine years.

Kier has also won a £33m highway improvement scheme for the A30 by Cornwall Council. The project will be part-funded and delivered by the council in conjunction with the Highways Agency. Work will begin in March 2015 and is expected to be completed in 2017.

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This is a particularly significant win for Kier as, since its acquisition of May Gurney in 2013, it has been looking to boost its presence and profile in the highways sector.

Finally, Kier’s housing maintenance business has signed a five-year extension to its existing repairs and maintenance contract with Barnsley Council, which covers 9,000 homes. This contract extension is valued at £55m over the period, or £11m a year.

Chief executive Haydn Mursell said: "Once again we are delighted to win work through the Procure 21+ framework. With over £1.3bn of contracts secured by the group from this framework over the last decade, we are pleased to maintain a level of quality and service which our customers continue to recognise.

"With our increased capability and focus on key market sectors, the award of the A30 contract reflects our increasing presence in the highways sector working for both local authorities and the Highways Agency. The extension of the Barnsley housing maintenance contract further consolidates Kier's strong profile in south Yorkshire."

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