PARLIAMENTARY WRITTEN QUESTION
(8 September 2026)

To ask the Secretary of State for Transport, whether the contract awarded by National Highways for the M49 junction 1 at Severnside was let on a fixed price basis or on a basis under which the final sum payable to the contractor could vary; and what the (a) original contract value and (b) final sum paid to the contractor were.

Asked by:
Claire Young (Liberal Democrat)

National Highways is continuing to engage with the principal contractor to seek an amicable and timely resolution to the issues identified at M49 Severnside Junction 1. As these discussions continue, no decision has been made on whether to pursue adjudication, and any future consideration of legal options would be subject to legal privilege.

The contract for M49 Severnside Junction 1 was awarded through National Highways’ Collaborative Delivery Framework as a design and build arrangement, with responsibility for the design resting with the appointed contractor. The framework is based on the NEC model, under which the contract value may vary in certain circumstances. However, National Highways is unable to disclose commercially sensitive information, including the original contract value, final sum paid, or any sums sought from the contractor, while ‘without prejudice’ discussions remain ongoing with the contractor, as doing so could compromise those discussions.

Design and build contracts include standard provisions requiring contractors to remedy defects during the defect correction period. Where issues are pursued outside that period, as in this case, any claim would be treated as a standard breach of contract claim. National Highways will continue to engage with the contractor to ensure a shared understanding of the technical information and identify responsibility and liability, determining whether the matter can be resolved amicably and expeditiously.

Answered by:
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