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Banwell Bypass scheme to go ahead despite inflation pushing cost to £89.2M

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North Somerset Council has given final approval for construction of Banwell Bypass to progress despite costs increasing by more than a third to £89.2M.

Originally tabled in 1927, the scheme gained planning approval in March this year but was put on hold as cost increases became clear and the council needed to source further funds.

The Banwell Bypass scheme will see construction of a new 3.3km single carriageway off the A38 to stop traffic congestion in the village of the same name. Banwell lies between two busy A-roads, which in various sections are only wide enough for one car to pass.

The contract for the construction, which has been handed to Alun Griffiths, also includes the delivery of one bridge, ten culverts, two link roads, junction upgrades and the design of a new Banwell Road junction on the A371.

Banwell bypass map

Banwell bypass scheme overview

The project has seen constant cost hikes due to inflation caused by the Covid-19. This was reported in June when it was revealed that the 2019 estimate of £66M had ballooned by over a third to £89.2M, leading the council to apply for a further £24M in funding from the government.

Homes England had agreed to majority fund the project as it will support the development of 2,800 homes. It has now agreed to top up its fund for the project to £77.3M, with North Somerset Council agreeing to contribute the other £11.9M.

Alun Griffiths’ contract for the construction of the bypass is costed at £56.5M. The contract has been put forward by the council under a “pain gain agreement”. These agreements state percentage values contractors agree to gain or lose depending on what the total costs come in as. This allows contractor to take a percentage of the savings if it delivers the scheme under-budget, but it will also bear the weight of a percentage of costs if the scheme is over-budget.

Construction for the bypass is anticipated to start in early 2024 following “a suitable level of detailed design being completed” and the secretary of state signing off confirmation of Compulsory Purchase Orders. The council stated that the design of elements of the bypass will then continue in parallel. It is anticipated delivery of the project will take three years but council leader Mike Bell stated he hopes the actual bypass will be completed by May 2026.

It had previously been estimated the bypass would open next year.

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