25 Year Makeover Deal for Local Roads

Vinci Ringway wins £800 million contract from Hounslow Council


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The preferred bidder for a contract to fix pot-holed streets and cracked pavements in the London Borough of Hounslow was announced at this week’s meeting of the Cabinet.

The 25-year, £800 million PFI contract, which will give a makeover to the borough’s 259 miles of road and 458 miles of pavements has benn awarded to Vinci Ringway.

The contract covers:

  • roads and pavements
  • street lighting
  • bridges
  • signs and street furniture
  • drainage
  • trees and verges
  • winter gritting
  • street cleansing
  • removal of graffiti and fly tipping
  • enforcement action
  • admin and settlement of insurance claims

A business case will be submitted to the Department for Transport (DfT) for approval in April. If this is approved in the summer, the contract will be signed and preparations will begin in July to start work in January 2013.

The first five years of the contract, which is due to start in January 2013, will see Vinci Ringway make an initial investment of £100 million to upgrade the road network. The contract stipulates an improved standard of maintenance to existing levels for the rest of its term.

The deal will include upgrading and improving roads, pavements, street lights, street cleaning, signs, street furniture such as benches and bollards, as well as drains and gutters across the borough. As part of the arrangement, 200 London Borough of Hounslow staff will transfer across to Vinci Ringway.

Cllr Corinna Smart, cabinet member for environment at the council said: “This contract will literally change the face of the London Borough of Hounslow. It will be a massive boost for residents, businesses and visitors. We know our roads and pavements are in poor condition, and to get them up to the standard we want would cost more money than we could ever afford. This PFI provides an affordable way of tackling the problem and getting shot of the grot.”

Speaking for Ringway, the Group Managing Director Scott Wardrop said: "Ringway is a company that was 'born' in London in 1976 and we have been providing high quality highway surfacing and related services to the residents of Hounslow for the last 20 years.  We are delighted that we will be able to continue that relationship for another 25 years through this Highway PFI project that helps regenerate the streetscene of the Borough."

Funding for the scheme follows a successful bid for a Government grant of approximately £14m a year for 25 years from the DfT, with the London Borough of Hounslow funding the rest of the contract payments.

The PFI is one of only three which were up for grabs across the country, and the only one in London.

March 9, 2012