Airport launches five-year upgrade - frameworks worth combined £1bn

Gatwick Airport has launched two major frameworks worth £750m for improvements to the airport over the next five years.

The frameworks - covering small and medium-sized projects respectively - will be used to deliver building, civil engineering and M&E services to support the airport’s capital investment programme.

The first ‘low complexity’ tender covers projects worth up to £1.5m, while the ‘medium complexity’ framework covers projects worth up to £10m and is expected to be worth £600m over five years. The tenders are thought to be the first of four forthcoming tenders to be issued by Gatwick.

Within each framework, three lots will be awarded for building, civil engineering and M&E work.

The low complexity framework has a build value of £40m-£60m, civil engineering packages worth £30m-£45m and M&E work worth between £30m-£45m.

The medium framework has a build value of approximately £160m-£240m, civil engineering packages worth between £120m-£180m and M&E projects with a total value of £120m-£180m.

The frameworks are expected to be in place by the end of the first quarter of 2016.

A more complex major works framework, involving contracts potentially greater than £10m, and a separate framework for design consultancy services, will be the subject of separate procurement processes, with details made available by Gatwick later in 2015.

Lee Hewitt, head of capital procurement at Gatwick Airport said: “The major works will help Gatwick to deliver on the next phase of our transformation which has already seen over £1bn invested since Gatwick entered private ownership in 2009.”

Gatwick is planning a £1bn transformation programme, including reconfiguring and refurbishing its North Terminal.

A more comprehensive redevelopment of Gatwick - which would include building a second runway - is on standby while the government decides how to respond to the Davies Commission on airport expansion, which recommended expansion of Gatwick’s fierce rival Heathrow.

Gatwick argue it is still in the race for a new runway - despite Davies’ backing of Heathrow - as government ministers are known to be split on which of the two airports’ plans to endorse. A government decision is due by the end of the year.