21.10.16
Costain replaces Carillion as Network Rail’s top supplier
Costain Ltd topped Network Rail’s list of suppliers for 2015-16, with infrastructure contracts worth £377m, making up 5.17% of Network Rail’s total spending.
Carillion Construction, another infrastructure contractor, which topped the table in 2014-15 with £361m spending, fell to second place with £352m, or 4.82% of Network Rail’s total spending.
The third biggest supplier was utilities supplier EDF Energy, whom Network Rail paid £307m. Last year British Energy was its highest paid utilities supplier at a cost of £189m.
The next two biggest sets of contracts were £306m to Siemens for signalling infrastructure and £241m to Balfour Beatty for rail infrastructure.
Overall, Network Rail spent £3.4bn on its top 20 suppliers, compared to £2bn last year, as it progressed with a programme of CP5 upgrades.
A Network Rail spokesperson said: “These figures show we’re absolutely focused on delivering ‘The Railway Upgrade Plan’ – Network Rail’s £40bn spending and investment plan for Britain’s railways.
“The plan is designed to provide more capacity, relieve crowding and respond to tremendous growth the railways have seen – a doubling of passengers in the past twenty years. The plan will deliver a bigger, better railway with more trains, more reliable infrastructure and better facilities for passengers.
“That progress is a huge tribute to the work not just of the thousands of dedicated people who work for Network Rail, but the entire industry, contractors and supply chain, and those who run and operate passenger and freight services.”
In total, 12 of the top 20 sets of contracts were for infrastructure. Unlike the previous year, an IT supplier appeared on the list, with CSC Computer Sciences receiving an £85m contract. However, troubled steel manufacturer Tata Steel, which received contracts worth £98m last year, was pushed off the list. Tata was looking to sell its UK businesses earlier this year, but paused the process in July.
To view the Top 20 list, click here.
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