A North East combined authority has begun market engagement for a transport programme in the Tees Valley that could be worth about £1bn, asking construction firms to advise on how the potential work should be packaged for procurement.
The five-year programme runs from April 2027 to March 2032 and covers major road schemes, railway upgrades, bus infrastructure, active travel and transport technology. The authority has submitted its wish-list to the Department for Transport.
The Government has already confirmed £978m of core transport funding for the region. The wider programme, however, includes projects that still require further business-case approvals and additional financial support.
The distinction matters: the £978m is confirmed core funding, while the broader list contains ambitions that are not yet fully funded or approved. The programme is therefore a pipeline subject to business cases and government decisions, not a set of fully committed works.
Schemes in the pipeline
Major projects on the list include the Darlington Northern Link Road, upgrades to the A66 and A689 corridors, a new platform at Middlesbrough Station and the redevelopment of Thornaby Station.
The authority is also considering a new station at Teesside International Airport, improvements to Middlesbrough bus station and transport links serving the Teesworks development.
Delivery of the full programme will depend on Government support and potentially further outside funding, the authority has acknowledged.
Funding and procurement
Steve Harker, the combined authority’s cabinet member for transport and infrastructure, said major transport schemes often need significant additional funding even though the body has devolved powers.
He said Government backing for the plans was 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.
Despite the funding uncertainties, 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 large deal.
It is also considering a programme-wide alliance under the FAC-1 Framework Alliance Contract model. Such an arrangement would bring delivery partners together and encourage regional contractors and SMEs to take part, according to the authority’s proposals.
An initial supplier launch event was held on 9 November. Firms are now invited to provide feedback through a market engagement questionnaire, with responses due by 1 March 2027.
The move gives contractors an early opportunity to influence how the pipeline is divided and delivered, while the authority continues to seek the funding and approvals needed for projects beyond its confirmed core budget.
Firms have also been invited to register an interest in the programme. The engagement is intended to help the authority prepare its procurement strategy before it lets contracts.