£130m Crossrail contracts advertised - despite funding doubts

Contracts for the £16bn Crossrail project are proceeding, despite concerns its funding agreement could unravel.

Cross London Rail Links (CLRL) this week advertised three major contracts worth around £130m related to demolition, utility diversion works and major civils enabling works.

The OJEU notices show:

• A £100m civils contract to be split among up to 10 contractors. Jobs include groundwork, removal of existing piling, protection of services, settlement mitigation, underpinning and minor building works. Winning firms will also be responsible for the diversion or protection of utilities. Bids due 19 September.
• A £20m demolition contract split between up to five contractors. The framework has been split into works with and without a rail interface. Bids due 12 September.
• A £10m site preparation contract split between up to five contractors. Jobs include provision of site set-up facilities, including making derelict properties safe, vermin checks, security services, supply of site hoarding and waste management. Bids due 5 September.

Funding for the project has already been thrown into doubt, with revelations that finance has not yet been agreed.

According to the Evening Standard, BAA has refused to publicly commit a sum to the project despite expectations it will contribute around £250m.

There are also concerns that efforts to raise £150m from London businesses will also fail.

Experts told the newspaper if the funding does unravel, the project could be delayed by up to five years.