Balfour Beatty has been appointed by Southampton City Council for a £100m highways maintenance contract.
The deal, which is scheduled to commence on 1 October 2010, is initially for 10 years with the option of a five-year extension.
The contract will see the creation of the Southampton Highways Service Partnership, a single organisation with merged management team and staff. Around 150 of the council’s staff will be transferred to the partnership
The partnership will provide highways transportation planning and asset management services.
Matthew Dean, council member for environment and transport, said: “This partnership means we will be able to use the best expertise and equipment the private sector has to offer to tackle the condition of our infrastructure. This isn’t a money saving exercise – any efficiencies made during this contract will be ploughed straight back into improving our roads and pavements for the future. It is about getting more bang for our buck and getting value for money.”
Balfour Beatty chief executive, Ian Tyler, said: "We are delighted to have signed this important strategic partnership contract with Southampton City Council. We look forward to delivering an effective, efficient, sustainable and customer-focused highways service for the City."