Airports director of planning and programmes tells Building he has set demading targets for contractors

Heathrow is demanding that construction suppliers on its £1.5bn improvement programme deliver a 15% reduction in construction costs over the next three years, its construction boss has said.

Speaking to Building, Phil Wilbraham, Heathrow’s director of planning and programmes, said he had set demanding targets for the four contractors tasked with delivering improvements at the airport over the five year regulated spending period from April 2014 to the end of March 2019.

As Building revealed in March, Heathrow has appointed Balfour Beatty, Mace, Morgan Sindall and Ferrovial as its four main contractors, with each charged with looking after a different part of the airport over the next five years.

The targets are part of Heathrow’s radical new procurement model which aims to establish long-term relationships with contractors and consultants as a way of delivering savings.