National Highways has issued a preliminary market engagement notice for its long-delayed A38 Derby Junctions scheme, with contract value now set at £600M and a length of 10 years.

Slated to be one of the largest infrastructure projects in the region in recent years, the scheme aims to deliver critical improvements to three key roundabout junctions on the A38 corridor west and north of Derby city centre: Kingsway (A38/A5111), Markeaton (A38/A52), and Little Eaton (A38/A61).

This road upgrade initiative is poised to alleviate congestion, enhance traffic flow, and support economic growth in Derby and the wider East Midlands area.

The plan route was determined in 2018

With an estimated total project value of £600M, it represents a major opportunity for the construction and engineering sector, offering a contract timeline from 31 January 2028 through to 30 January 2038, highlighting the long-term commitment and scope of work involved.

The path to this re-engagement has been complex. The project’s initial development consent order (DCO), granted in January 2021, was overturned following a legal challenge in the High Court. However, after a period of reassessment and redetermination, the DCO was reinstated in August 2023. Another legal challenge again saw it ensued, meaning further delay, but this was ultimately quashed by the courts in March 2025.

These judicial hurdles, while significant, did not deter the project’s progress. In the aftermath of the July 2025 Spending Review, the government affirmed funding for the scheme, thus clearing a crucial financial and political hurdle to proceed.

However, the delays have seen the cost of the scheme more than double. The cost estimate around the time of the redetermination was £200M to £250M, but data from the Office of Rail and Road released in July 2025 suggested the it had increased by £417M. This engagement notice confirms the considerable hike.

A National Highways spokesperson said: “Schemes of this size and complexity can incur increased costs over time, particularly when factoring in delays due to legal challenges and high levels of inflation.

“We are working closely with the Department for Transport to progress this scheme and identify the most cost-effective and efficient delivery timeline for the A38 Derby Junctions project.

“Further updates will be provided following confirmation of the Government’s Road Investment Strategy.”

The preliminary market engagement notice serves as a formal invitation to potential suppliers to actively participate in shaping the delivery approach for the scheme’s design and build contract. National Highways emphasises the collaborative nature of this phase, seeking to harness market expertise to refine the procurement strategy and mitigate bidding risks.

Central to this engagement is an in-person event scheduled for 4 March 2026 at The Eastside Rooms in Birmingham. This session will welcome a maximum of 100 suppliers, allowing them to send up to two personnel each, ideally encompassing technical and commercial representatives. The agenda is designed to be interactive and comprehensive, featuring detailed presentations on the scheme’s purpose, programme, planning constraints, including the DCO context and commercial intentions. Following this, breakout discussions will delve deeper into commercial, technical, and procurement considerations, before closing with a Q&A session aimed at capturing supplier feedback on preferred options, bid-cost inhibitors, and minimum bidding conditions.

This proactive approach by National Highways reflects a growing trend in major infrastructure projects to engage the supply chain early and collaboratively. By doing so, the agency aims to drive innovation, cost efficiency, and risk-sharing, ensuring the successful delivery of the complex upgrade.

The tender notice publication is anticipated for 7 December 2026.

Like what you've read? To receive New Civil Engineer's daily and weekly newsletters click here.