Kier named for North Tyneside outsourcing contract worth over £600m

06 May 2009

Kier has been named by North Tyneside Council as preferred bidder for a contract with a potential value of over £600m to repair and maintain its social housing stock and other council-owned property for an initial ten-year term, which is extendable for a further five years.

The contract entails the transfer under TUPE of 500 council employees to Kier and will be managed from the council's existing Killingworth site at Harvey Combe. Work involves improvements and repairs to 16,000 council homes and council owned buildings together with reactive and planned maintenance. The contract is expected to start on 7 September 2009.

North Tyneside is set to join Kier's already well-established large portfolio of local authority outsourcing contracts as well as long term contracts with many London local authorities. The North Tyneside contract will bring the total number of public sector homes maintained by Kier to in excess of 240,000.

Kier Group plc chief executive John Dodds commented: "We are delighted to have secured preferred bidder status on this contract and look forward to forging a successful working partnership with the council. This opportunity further enhances Kier Support Services' well-established status as a leading provider of award-winning public sector housing repair and maintenance services."