Carillion-led consortium Monteray has this week finally closed the Project Jaguar deal, a £500m facilities management contract with BT that is the largest of its kind in the UK.
The move comes as BT faces intense pressure from shareholders and the City to reduce its £30bn debt.

Monteray, which also includes Balfour Beatty subsidiary Haden Building Management and Reliance Integrated Services, was named preferred bidder for the contract to manage and maintain 8500 BT properties last May.

Delays in finalising the Project Jaguar contract were partly caused by BT's decision to put its £2bn property portfolio up for sale at the start of this year. The contract will be transferred to the buyer of the property arm.

In the mean time, Monteray has carried out FM work for BT under an interim contract.

The Carillion team will split the contract into eight regions, divided between Haden, Reliance, Carillion, Mitie and Rentokil Initial.

Each provider will have to deliver year-on-year savings, meet key performance indicators and work to a guaranteed maximum price.

Carillion saw off competition from Amec, Bovis Lend Lease and Mace/Citex to become preferred bidder.

A preferred bidder to buy BT's property arm is scheduled to be chosen this month.