Building Materials & Real Estate

Contractors asked to shape packaging of Tees Valley's £1bn transport pipeline

Katrin VerhoevenNovember 12, 20265 min read0 views

At a glance

  • The region's combined authority has opened market engagement on a 2027–2032 transport programme that spans roads, rail, buses, active travel and technology, with £978m of core Government funding confirmed so far.
  • Tees Valley's combined authority has submitted a five-year transport wish-list to the Department for Transport and is asking construction firms how the potential work should be packaged for procurement. Core funding of £978m is confirmed, but several major schemes still need business case approvals and additional backing.
Concept illustration of a regional transport programme at dusk, showing a relief road, a station with an extra platform, a bus interchange and a cycle path joined by soft light trails.

The combined authority responsible for the Tees Valley has submitted a five-year transport wish-list to the Department for Transport and is now asking construction firms how best to package the potential work into contracts.

The programme runs from April 2027 to March 2032 and covers major road schemes, railway upgrades, bus infrastructure, active travel and transport technology. The Government has already confirmed £978 million of core transport funding for the region, but the authority says the wider programme contains projects that still need further business case approvals and additional financial backing.

Schemes on the list

  • Darlington Northern Link Road
  • Upgrades to the A66 and A689 corridors
  • A new platform at Middlesbrough Station
  • Redevelopment of Thornaby Station
  • A new station at Teesside International Airport
  • Improvements to Middlesbrough bus station
  • Transport links serving the Teesworks development

Because the confirmed funding covers core transport, several of the headline schemes sit in the wider programme and depend on separate approvals. The authority has acknowledged that delivering the full list will depend on Government support and potentially further outside funding. The roughly £1 billion headline figure attached to the programme therefore reflects that wider ambition rather than confirmed funding alone.

Steve Harker, the combined authority's cabinet member for transport and infrastructure, said that while the body is devolved, major transport schemes often require significant additional money. He added that Government backing for the plans is vital because it would allow external organisations to help fund the programme, giving the region the best chance of delivering as many projects as possible in good time.

Multiple contracts and a possible alliance

Despite the funding uncertainty, the authority is pressing ahead with early supplier engagement to prepare its procurement strategy. It expects to let multiple contracts covering highways, rail, civil engineering and specialist infrastructure rather than award one giant deal.

It is also considering a programme-wide alliance using the FAC-1 Framework Alliance Contract model, which would bring delivery partners together and is intended to encourage regional contractors and small and medium-sized enterprises to take part.

A supplier launch event was held on 9 November, and firms are now invited to provide feedback through a market engagement questionnaire. Contractors have until 1 March 2027 to respond and register an interest, a deadline that falls about a month before the programme's scheduled April 2027 start.

Firms are being asked for their views on how the potential work should be divided rather than invited to bid at this stage; the feedback will inform the authority's procurement strategy ahead of formal tendering.

Reported by Katrin Verhoeven, Materials and Durability Editor.