Contractor is replaced ’by mutual consent’ with BAA after project ’not delivered as hoped’

Kier has left the £10m refurbishment of Heathrow Terminal 3 after failing to deliver work “as hoped”.

The firm started on the refurbishment of the baggage and immigration hall at the terminal last autumn, but it has failed to live up to expectations. Both Kier and BAA said the decision for the contractor to leave the project was made by mutual consent.

The terminal was opened in 1961, and the work is designed to bring its baggage and immigration facilities up to the same standard as Terminal 5.

The work was being carried out while the buildings were still in use.

Vinci has now been brought in to complete the project, which is due to be finished in 2011.

A source at the scheme said: “The building was in operation as Kier was doing the work but I don’t think that affected the way it was working. It’s more about performance issues. I think that ultimately it was about BAA wanting to keep projects on schedule.”

A BAA spokesperson said:

“BAA and Kier mutually recognised that their work at Terminal 3 was not being delivered as we had hoped and jointly decided to end the contract on this project.

“The importance of remaining on schedule means that Vinci Construction UK is to complete the work. We hope that the work being carried out by second tier suppliers will continue as normal, and we are confident that the completion date will be successfully met.

“Kier’s position as a framework supplier is unaffected.”

A spokesperson for Kier echoed BAA’s words, saying the work was “not being delivered as we had hoped” and that BAA and Kier had jointly decided to end the contract.

Kier has set up a special unit for its airport work with BAA and last year carried out an upgrade to the facade of Heathrow’s Terminal 1.