Question to the Department for Transport:

To ask the Secretary of State for Transport, if he will make an estimate of the (a) (i) previous, (ii) future and (iii) total costs for the construction of the A303 Stonehenge road scheme between Amesbury and Berwick Down and (b) annual maintenance costs over the next 60 years in present day values; and whether contractual penalties exist if the scheme is (A) cancelled and (B) subject to serious construction delays.

Construction costs

In 2017, when the Outline Business Case was approved, the construction costs estimate range for the project was between £1.1bn to £2.5bn, with a central estimate of £1.6bn. This was predicated on starting construction work in 2021 and the project being delivered under the government’s Private Finance 2 model (PF2).

In 2018, the estimate was updated following the cancellation of PF2. The revisedcost estimate ranged between £1.5bn to £2.8bn, with a central estimate of £1.9bn. This was predicated on a start of works in 2021 and public funding.

Maintenance costs

Based on 2019 prices, National Highways will need to make provision for operations, maintenance and renewals costs of approximately £8m per annum (plus inflation) over a 60-year operating period.

Contractual Penalties

There are no contractual penalties if the project is cancelled or delayed, but National Highways would need to agree compensation events relating to the costs of delay and inflation.