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Kier secures £160m Surrey highways extension

10 Feb 16 Surrey County Council has approved a four-year extension to Kier’s highway maintenance contract, in a deal worth £160m.

The contract was originally awarded to May Gurney, starting in 2011. When Kier acquired May Gurney in July 2013, Surrey highways was among the work it took over.

The contract extension will run from April 2017 to March 2021, with a wider scope than before. The current contract includes highways maintenance and improvements; in the extension, Kier has committed to developing a Surrey Highways skill centre to provide training and apprenticeship opportunities.

Kier has also been boosted in recent weeks by various public sector framework appointments and contract awards, including:

  • the award of more than £100m of education building contracts across the country under the EFA contractor and regional frameworks;
  • securing a position on the four-year West Yorkshire YORbuild 2 contractors framework, which has a potential total value of £400m;
  • securing a position on the Essex Construction Framework Lot 2 covering schemes of £2m and above, which has a potential total value of £240m; and
  • securing a position on four lots of the next phase of the South West Wales framework. 

Kier chief executive Haydn Mursell said: “Kier has forged a strong working relationship with Surrey Country Council over the past five years. This contract reinforces Kier’s presence in the local authority market and further demonstrates the benefits of recent acquisitions, which have strengthened the group’s highways services and maintenance offering and helped to establish Kier as the market leader in this sector. These awards further underpin the strength of the combined construction and services order book which currently stands at approximately £9bn.”

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