Updated June 29, 2026 – Skanska has cancelled its order for the main construction contract on the long-planned A46 Newark Bypass Improvement Scheme in Nottinghamshire, United Kingdom. The contract, originally valued at approximately GBP 297 million (around SEK 3.9 billion), was removed from Skanska’s order backlog following delays to the project and changes in the UK’s infrastructure investment timetable. The decision comes despite the scheme later receiving renewed government backing under the latest Road Investment Strategy (RIS3), highlighting how procurement schedules and public funding reviews continue to reshape major infrastructure delivery across Britain.
A46 Newark Bypass Improvement Scheme is part of National Highways’ long-term plan to upgrade one of the Midlands’ busiest transport corridors. The plan is to convert a congested section of the A46 into a dual carriageway, improving connections between the M1, the A1 and central Lincolnshire.
A46 Newark Bypass Improvement Scheme: Overview
The A46 Newark Bypass has been under development for several years. It has been one of the UK’s priority highway upgrades intended to improve regional freight movement and reduce congestion across the East Midlands. Approximately 60,000 vehicles use the corridor daily, making it one of the country’s most significant strategic road links for both passenger traffic and logistics.
Skanska secured the main works contract several years ago while the project progressed through planning and statutory approvals. However, prolonged delays resulting from planning procedures, government spending reviews and shifting infrastructure priorities prevented construction from commencing on schedule. With no clear construction start date at the time, Skanska elected to cancel the order from its books.
The development also illustrates the wider uncertainty that affected several UK transport projects. This is during the government’s reassessment of future capital expenditure following changes in national infrastructure spending priorities. However, some projects, such as the Lincoln Bypass Project, continue to advance with few setbacks.
Government Recommits to the Scheme
Despite Skanska’s cancellation of the order, the outlook for the project has since improved considerably. The UK Government subsequently confirmed funding support for the bypass through its third Road Investment Strategy (RIS3). This came after the project secured Development Consent Order (DCO) approval. National Highways has also indicated that delivery planning will continue, with updated implementation schedules expected as procurement activities resume.
The approved scheme includes:
- Upgrading approximately 6.5 km of the existing A46 from single to dual carriageway.
- Construction of a new bridge crossing the A1.
- A new flyover at Cattle Market Junction.
- A redesigned five-arm roundabout at Winthorpe.
- Junction improvements at Farndon.
- Enhanced facilities for cyclists, pedestrians and other non-motorized users.
- Environmental mitigation and biodiversity enhancement measures.
Once completed, the improvements are expected to reduce journey times, improve safety and increase network resilience. It is also expected to foresee future housing and commercial development around Newark-on-Trent.
Skanska A46 Newark Bypass Contract Cost
The original construction package awarded to Skanska was valued at GBP 297 million (SEK 3.9 billion). Subsequent estimates for the complete infrastructure program have however increased significantly. This is because of inflation, design refinements and expanded project scope. Overall delivery costs are now estimated well above the original contract value. Government funding has since been confirmed under RIS3, although revised procurement arrangements are expected before construction begins.
A46 Newark Bypass Improvement Scheme Project Factsheet
Location: Newark-on-Trent, Nottinghamshire
Client: National Highways
Original Main Contractor: Skanska UK
Contract Value: GBP 297 million
Scope:
- Dual carriageway widening
- New A1 bridge
- Junction improvements
- New roundabout
- Active travel infrastructure
- Environmental mitigation
Current Status: Original Skanska order cancelled. Government funding confirmed. Project progressing toward future delivery under RIS3.
Plans set for the construction of A46 Newark bypass in Nottinghamshire as Skanska is awarded contract
Reported August 29, 2022 – A £345 million contract has been agreed to for the renovation of 6.6km of the A46 Newark bypass in Nottinghamshire. Skanska and National Highways agreed on the contract for the construction of the dual carriageway A46 bypass with two lanes in each direction.
The bypass will be built between the Farndon and Winthorpe junctions, to the west of Newark. Further work will involve the erection of a new five-arm roundabout at Winthorpe and traffic lights at Farndon junction. This will help to improve traffic flow during peak hours.
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Where the two highways intersect with the A1 to the north of the town, a new bridge will also be constructed. Additionally, a flyover will be put in place at Cattle Market. The M1 and Leicester are linked to the A1 and central Lincolnshire by the A46 Newark bypass. Approximately 17,000 automobiles utilize it each day.
Later in 2022, Skanska will start the design phase. Construction on the site is anticipated to begin in 2025, with the project opening to traffic in 2028. This is subject to the pending receipt of development consent. National Highways has put the total project expenditures at between £400 million and £500 million.
Remarks on the Nottinghamshire improvement scheme
“We’re happy to have reached a crucial milestone in the development of the A46 Newark Bypass. This is with the appointment of Skanska to execute this much-needed upgrade,” said Phil Boffey, senior project manager for National Highways.
“This plan will provide relief for both drivers using this important trade corridor. Furthermore, it will help the people suffering from the existing congestion. We are keen to ensure that, to the extent practicable, the upgrades work for the community as a whole. Moreover, we will continue to consider the perspectives of road users and local residents.”
“We have developed a collaborative and trusting partnership with National Highways. This is with this contract building on our current projects at M42 junction 6 and the A428. Thus we will create an amazing 10-mile dual carriageway,” said Jonathan Willcock, managing director of Skanska’s Infrastructure business. “We’ll be collaborating with National Highways and our design partner, Mott McDonald, as well as our larger supply chain, to assemble a really strong and integrated team.”
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