Building Materials & Real Estate

Tees Valley seeks contractor input on £1bn transport programme

Priya RaghunathanNovember 12, 20265 min read0 views

At a glance

  • The combined authority has submitted a five-year transport wish-list to the Department for Transport and is testing procurement options ahead of a planned April 2027 start.
  • The Tees Valley authority has submitted a five-year, £1bn transport wish-list to the Department for Transport and begun market engagement on how to package the work. £978m of core funding is confirmed, but several schemes still need business case approvals and additional backing.
Concept illustration of the Tees Valley transport programme as a connected network of road, rail, bus and airport projects, with construction cranes and an engineering site office.

A £1bn transport wish-list for Tees Valley has been submitted to the Department for Transport. The combined authority is now asking construction firms how the potential work should be packaged for procurement.

The programme would run from April 2027 to March 2032. It covers major road schemes, railway upgrades, bus infrastructure, active travel and transport technology. The Government has already confirmed £978m of core transport funding for the region, but the broader programme includes projects that still need further business case approvals and additional financial backing. The £1bn headline figure therefore covers a mix of confirmed core funding and proposals that still require further approval or backing.

Projects on the list

The authority’s list includes the Darlington Northern Link Road, upgrades to the A66 and A689 corridors, a new platform at Middlesbrough Station and the redevelopment of Thornaby Station. It also sets out ambitions for a new station at Teesside International Airport, improvements to Middlesbrough bus station and transport links serving the Teesworks development.

The authority has acknowledged that delivering the full programme will depend on Government support and potentially further outside funding. Steve Harker, the combined authority’s cabinet member for transport and infrastructure, said major transport schemes often require significant additional funding even though the body is devolved. He said Government backing is vital because it would allow external bodies to help fund the programme and give the region the best chance of delivering as many projects as possible in good time.

Procurement approach

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

The authority is also considering a programme-wide alliance using the FAC-1 Framework Alliance Contract model. The aim would be to bring delivery partners together and encourage regional contractors and SMEs to take part.

An initial supplier launch event was held on 9 November. Firms have been invited to provide feedback through a market engagement questionnaire, with responses due by 1 March 2027. The questionnaire is intended to inform the procurement strategy before the programme starts.

The early engagement signals that the authority wants to shape the contracting model before the programme begins, even as individual schemes move through business case and funding approvals. The use of multiple contracts and a possible alliance could widen access for regional suppliers, while the confirmed core funding and the unconfirmed elements of the programme remain separate at this stage.

Reported by Priya Raghunathan, Building Plumbing and Climate Systems Editor.