Water utility Severn Trent Water has launched the bid race for places on a £1.2bn framework covering specialist tunnelling, drilling and shaft works across its network.

The long-term deal, also covering its Welsh business Hafren Dyfrdwy, will run for an initial 12 years from September 2026 with options to extend out to 2041.

It will underpin delivery of major underground pipeline and infrastructure upgrades across England and Wales.

The procurement is split into two overarching lots:

• Build only works worth £300m
• Design and build works worth £900m

The bulk of workload is expected to sit in the design and build lot, reflecting utilities’ push for integrated delivery.

The scope of work is wide-ranging and heavily geared towards trenchless techniques, including pipe jacking, micro tunnelling, HDD, auger boring and segmental tunnelling, alongside complex shaft construction.

Severn Trent is aiming to appoint between five and seven contractors for each lot, which will be evaluated on a 70:30 technical to price split at tender stage.

Firms cannot bid for shaft packages in isolation and must demonstrate core tunnelling or drilling capability to qualify.

Framework call-offs will be made via mini-competition or direct award, with contractors initially shortlisted through a PQQ before progressing to detailed RFP submissions.

The framework covers all Severn Trent regions, spanning the Midlands, North, South West and Wales, signalling a steady pipeline of underground civils work over the next decade.

Under a tight procurement timeline expressions of interest are due by 28 April with framework awards targeted for September.

Click here for more details.