Amey and Birmingham City Council reach financial close on £2.7bn Birmingham Highways PFI

Amey and Birmingham City Council have announced that they have reached financial close on the Birmingham Highways private finance initiative (PFI). This follows the council’s appointment of Amey as preferred bidder for its 25-year, £2.7bn highways maintenance and management PFI – the biggest local government highways sector PFI in the UK.

Councillor Len Gregory, cabinet member for transportation and street services at Birmingham City Council said: “The process of reaching financial close on a pathfinder project such as this is a complex one. This PFI is the largest of its type and we are delighted that we have reached this important stage.”

Mel Ewell, Amey chief executive added: “This important partnership will lead to an improvement in the city’s highway network. Birmingham and the surrounding area is one of the most important road networks in the UK, providing essential transport links between some of the country’s largest industrial and metropolitan hubs and we are looking forward to improving the city’s highway infrastructure for the benefit of all those who live, work and travel in it.”

The contract will give Amey responsibility for improving and maintaining 2,500km of road network, nearly 100,000 street lights, as well as over 850 highway structures and bridges across the city. There will be a significant investment in the first five years including the repair of roads, maintenance of footways, bridges, street lighting and traffic signals as well as the upkeep of street scenery such as safety barriers, seats and trees. Work is expected to start in the summer of this year.

ENDS

Notes to Editors:
Financial close means that the contractual discussions have been completed and that the necessary financial arrangements are in place. The next step is contract commencement.
 

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