Market Conditions & Good news for Crossrail

With the great sporting summer of 2012 gone and construction restrictions lifted across Central London and the London Underground network the construction industry is beginning to gather momentum again. We have noticed an increase in recruitment activity across in the infrastructure sector in the South East on rail, energy, highways, aviation and water related projects.  The last quarter of year is historically our busiest and 2012 looks like it will follow the trend of previous successful years.

More good news for the industry in the way of government funding through the UK Guarantees initiative has just been announced. Crossrail’s £1 billion rolling stock has been confirmed by Danny Alexander as the first scheme to receive government support through the UK Guarantees initiative.

Speaking at the Liberal Democrat conference yesterday, the chief secretary to the Treasury, said the government needs to secure the rolling stock for the ‘biggest infrastructure project in Europe’.

Rolling  stock being delivered largely through the private finance initiative is  being considered as the first scheme to be underwritten by the government balance sheet.“We need to make sure the rolling stock is delivered on time.  Right now there’s difficulty raising the necessary private funding.“Crossrail will be the first project to qualify for a new government guarantee – and it will be the first of many across Britain I’m sure.”Mr Alexander said it has come after the government has ‘rebuilt the confidence in the nation’s ability to pay its way in the world’.

More good news for the industry is that the Thames Tideway Tunnel is also being tipped for a UK Guarantee. John Cridland, Confederation of British Industry Director-General, said today: “I welcome the first announcement of the use of UK Guarantees to underpin the funding of new Crossrail trains.

“This is an important step forward, and I hope to see more announcements as quickly as possible.”

The stock and depot contract is the largest single contract Crossrail will let. It is due to be awarded in spring 2014 in time to provide stock in May 2017 on the Great Eastern Main Line into Liverpool Street.

The £1bn cost of rolling stock and depot is not included as part of the overall £14.8bn of Crossrail funding. In February, Crossrail’s Sponsors (Department for Transport and TFL) said private finance will meet a substantial part of the £1bn cost.Government announced that they would provide a grant contribution of up to £350m, aimed at easing financing costs for bidders and the public purse. The rest is coming through the PFI.

Crossrail will pass through 37 stations from Maidenhead and Heathrow in the west, central London to Shenfield and Abbey Wood in the east.

We have excellent working relationships with many of the contractors responsible for delivering Crossrail projects. If you are interested in current or future jobs on this prestigious project  or other infrastructure / civil engineering projects please get in touch.

With the great sporting summer of 2012 gone and construction restrictions lifted across Central London and the London Underground network the construction industry is beginning to gather momentum again. We have noticed an increase in recruitment activity across in the infrastructure sector in the South East on rail, energy, highways, aviation and water related projects.  The last quarter of year is historically our busiest and 2012 looks like it will follow the trend of previous successful years.

More good news for the industry in the way of government funding through the UK Guarantees initiative has just been announced. Crossrail’s £1 billion rolling stock has been confirmed by Danny Alexander as the first scheme to receive government support through the UK Guarantees initiative.

Speaking at the Liberal Democrat conference yesterday, the chief secretary to the Treasury, said the government needs to secure the rolling stock for the ‘biggest infrastructure project in Europe’.

Rolling  stock being delivered largely through the private finance initiative is  being considered as the first scheme to be underwritten by the government balance sheet.“We need to make sure the rolling stock is delivered on time.  Right now there’s difficulty raising the necessary private funding.“Crossrail will be the first project to qualify for a new government guarantee – and it will be the first of many across Britain I’m sure.”Mr Alexander said it has come after the government has ‘rebuilt the confidence in the nation’s ability to pay its way in the world’.

More good news for the industry is that the Thames Tideway Tunnel is also being tipped for a UK Guarantee. John Cridland, Confederation of British Industry Director-General, said today: “I welcome the first announcement of the use of UK Guarantees to underpin the funding of new Crossrail trains.

“This is an important step forward, and I hope to see more announcements as quickly as possible.”

The stock and depot contract is the largest single contract Crossrail will let. It is due to be awarded in spring 2014 in time to provide stock in May 2017 on the Great Eastern Main Line into Liverpool Street.

The £1bn cost of rolling stock and depot is not included as part of the overall £14.8bn of Crossrail funding. In February, Crossrail’s Sponsors (Department for Transport and TFL) said private finance will meet a substantial part of the £1bn cost.Government announced that they would provide a grant contribution of up to £350m, aimed at easing financing costs for bidders and the public purse. The rest is coming through the PFI.

Crossrail will pass through 37 stations from Maidenhead and Heathrow in the west, central London to Shenfield and Abbey Wood in the east.

We have excellent working relationships with many of the contractors responsible for delivering Crossrail projects. If you are interested in current or future jobs on this prestigious project  or other infrastructure / civil engineering projects please get in touch with Intersect Global on 020 76820668 or email info@intersectglobal.co.uk