Carillion and Ringway lose Surrey road job

Carillion and Ringway are set to lose the £20m-a-year highways maintenance contract for Surrey after the county council decided to throw the current deal out to open tender.

Both firms have been working for the council for the last six years under the Surrey Highways Partnership to maintain and improve roads across the region.

The deal has been in place since 2003 and had options to last for ten years but will now come to an end in April 2011.

Carillion and Ringway have run into trouble on the scheme previously after a surveillance initiative found problems with productivity.

The deal was was extended in 2007 on the proviso that both contractors met tougher targets for cost and quality. 

Contractors interested in winning the job will be invited to tender next year following a series of potential supplier conferences.

Ian Lake, Cabinet Member for Transport said: "It’s time for a fresh approach.  Our prime focus must always be to deliver the highest standard of service, whilst providing maximum value for money.  I am confident that we are now in an excellent position to seek a better, more competitive deal that will directly benefit our residents.

"I acknowledge there have been issues with this contract, but we have worked in partnership with Ringway and Carillion to learn the lessons and resolve issues where possible.  Good progress has been made to improve the standard of Surrey’s highways, and I know we share a continuing commitment to build on our recent successes until the contract expires in seventeen months.”

During the last two years the council has repaired over 40,000 minor defects including potholes and resurfaced over 200 km of road.