Europe Latest News Water Management

Severn Trent prepares market engagement for up to £25bn capital delivery frameworks

Construction workers in a large water infrastructure excavation with tunnelling equipment
  • Severn Trent is preparing market engagement for new capital design and delivery frameworks.
  • The frameworks represent up to £25 billion of investment over 8 to 15 years.
  • They will support delivery across AMP9, AMP10 and AMP11.
  • Procurement is expected to begin in early 2027.
  • The engagement does not represent additional investment beyond Severn Trent’s previously communicated plans.
  • The frameworks aim to support collaboration, early supplier involvement, skills, innovation and regional supply chain resilience.

Severn Trent Water is preparing to launch market engagement for a new generation of capital design and delivery frameworks representing up to £25 billion of investment over the next 8 to 15 years.

The frameworks are expected to become Severn Trent’s primary commercial and delivery route for future capital programmes across AMP9, AMP10 and AMP11.

The company said the engagement forms part of its ongoing procurement and market engagement activity for previously communicated long-term investment. It does not represent the announcement of additional investment.

Long-term delivery route for future AMP periods

The proposed frameworks will support future regulatory outcomes while giving Severn Trent flexibility to respond to changing customer, environmental and resilience requirements.

The programme forms part of England’s wider water sector investment cycle, sometimes described as the sector’s “Big Upgrade”, as companies increase spending on water and wastewater infrastructure.

Severn Trent said the frameworks will support work across the Midlands, with an emphasis on resilience, demand growth, environmental protection and improved outcomes for customers and communities.

Procurement is expected to begin in early 2027.

“This is a major opportunity for the market to partner with Severn Trent on one of the UK’s most ambitious water infrastructure programmes,” said Paul Baxter, Capital Delivery Director at Severn Trent.

Baxter said the company wants to build on its existing delivery model through a more integrated and collaborative approach.

“Through this framework, we are creating a long-term platform that will support delivery across AMP9, AMP10 and AMP11, while providing the flexibility, resilience and innovation needed to meet future challenges,” Baxter said.

Design services tender to run alongside framework procurement

Alongside the capital delivery framework procurement, Severn Trent will also undertake a Design Services tender process.

The company said design services will be a critical and integrated part of the overall project lifecycle, helping to connect early project development with construction delivery and supply chain collaboration.

The frameworks are expected to be structured to engage a wide range of partners, from major international contractors to regional and local SMEs.

Severn Trent said this should help secure the capability, capacity and innovation needed for one of the UK water sector’s most significant infrastructure delivery programmes.

Supporting the AMP8 to AMP9 transition

The framework model will be designed to support AMP9 transition activity and associated expenditure.

Severn Trent said most AMP8 investment will continue to be delivered through incumbent partners, maintaining programme momentum and preserving critical capability during the transition between regulatory periods.

Potential partners will be invited to attend a dedicated market engagement event where they can learn more about Severn Trent’s plans, project pipeline and evolving commercial approach.

“Our ambition is to create a high-performing supplier ecosystem that combines the strengths of established partners with the innovation and capability of new market entrants,” said Daniel Foster, Head of Capital Commercial at Severn Trent.

Foster said the frameworks would provide supply chain certainty and create opportunities for suppliers to invest in people, skills and innovation.

“We want this to be more than a procurement exercise. We want to create a platform for collaboration, regional growth and lasting value that delivers benefits for customers, communities and the wider Midlands economy,” Foster said.

Focus on collaboration and regional supply chain resilience

Severn Trent said the new framework model will build on its existing delivery approach, with a focus on long-term strategic relationships, earlier supplier involvement and advanced procurement.

Performance, capability and capacity are expected to be central to future work allocation, giving suppliers greater certainty and supporting regional skills development.

UK2 notices are expected to be issued to the market shortly, setting out full details of the forthcoming market engagement day.

FAQs

What is Severn Trent preparing to launch?

Severn Trent is preparing market engagement for new capital design and delivery frameworks representing up to £25 billion of investment over the next 8 to 15 years.

Which regulatory periods will the frameworks support?

The frameworks are intended to support future capital delivery across AMP9, AMP10 and AMP11.

When is procurement expected to begin?

Procurement is expected to commence in early 2027.

Does this announcement represent new investment?

No. Severn Trent said the notice forms part of ongoing procurement and market engagement activity for its previously communicated long-term investment programme.

Who will Severn Trent seek to engage?

The frameworks are expected to engage a wide range of partners, including major international contractors, regional suppliers and local SMEs.

siti scommesse italiani