Programme includes delivery of 13 new or refurbished schools over four years

A Carillion joint venture has been selected as the preferred bidder for a £192m Building Schools for the Future (BSF) programme.

Carillion expects to deliver 13 new or refurbished schools in three phases over four years for the Rochdale BSF programme, as part of a local education partnership (LEP) that includes Rochdale Borough Council and Building Schools for the Future Investments.

Carillion expects to undertake the building and refurbishment work, which is due to start in January 2010, and is worth an estimated £180m.

John McDonough
McDonough: "This latest success further consolidates Carillion's position"

Work on four of the 13 schools will be funded privately, through a combination of borrowing and equity. Carillion is hoping to invest equity in these, including £2.4m into Hollingworth school which is due to be delivered in the first phase.

The construction giant also expects to provide facilities management services for all four privately financed schools, which it predicts will generate some £12m of revenue across a 25-year concession period.

Carillion chief executive John McDonough said: “This latest success further consolidates Carillion's position as one of the UK's leading suppliers to the government's £55bn Building Schools for the Future programme and brings the total value of the BSF projects that we have won or for which we are preferred bidder to £1.4bn.”