Halton bridge contract on track despite collapse of Wrekin Ltd

Jun 18 2009 by Adrian Short, Runcorn and Widnes Weekly News

THE circumstances surrounding the re-awarding of Halton’s bridge maintenance contract, following the collapse of Wrekin Construction, have been spelled out to Halton’s executive board.

The £12m, four-year contract involving all major bridge maintenance work went to Wrekin Ltd after being put out to tender last December.

But in March the company went into administration before it had started any work involved in the contract.

A report to members stresses Halton Council made no payment to the firm. It points out Wrekin had not returned contract papers, meaning the council had entered no formal arrangement with it.

It was then awarded to Balvac, which came second in the tendering process.

It said: “Although it has not been raised as an issue, there is a possibility that the administrator may eventually pursue the council for reimbursement of Wrekin’s procurement and mobilisation costs.

“It would appear that at worst these would only be confined to a very limited amount of staff time only, say £10,000 maximum.

“It is considered that the course of action outlined in this report the has mitigated the adverse effects to the bridge maintenance programme to an absolute minimum. We are confident that we can retrieve the delay in delivering the work created by Wrekin’s demise.”

Balvac has now begun setting up a site compound in Runcorn from which the job of painting and maintaining the Silver Jubilee Bridge will be managed.

The council says it is confident that the company has the appropriate level of expertise and experience to carry out the work involved.