Contractor was dumped after costs on Peterborough project jumped two-thirds

Kier 1

Cambridgeshire county council has begun the search to replace Kier on a road job after axing the contractor over the summer in a row about costs.

The firm, which nosedived to a 拢245m pre-tax loss last month, was booted off the King鈥檚 Dyke crossing on the A605 near Peterborough in July after the 拢16m scheme, let under a two-stage contract, jumped to more than 拢26m.

At the time the authority complained that Kier had sent in its final price over four months late.

Now in a contract notice published on the Official Journal, the council is advertising the job again at its original price of 拢15.8m.

It said: "The scheme was previously awarded as a two-stage design and build contract, for which a detailed design was completed. Cost estimates increased over time and so the authority is now seeking improved outcomes from the market."

It added that it would 鈥渨elcome value engineering exercises鈥� from would-be bidders. Firms have until 4 November to , with a shortlist of between five and eight bidders to be invited to tender by 19 November.

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