Carillion JV seals £1bn deal with BT business

13 October 2009

A Carillion-telent joint venture has signed a £1bn contract with BT Openreach to provide support services.

The JV has agreed a seven-year contract with Openreach, the business responsible for looking after much of Britain’s telephone network infrastructure.

Under the contract the 60:40 JV will deliver a range of engineering, support and maintenance services, consolidating work currently carried out by a number of outsourced suppliers.

Services will include delivery of support and installation services, asset management and maintenance, across Openreach’s operations which cover all of mainland Britain.

Transition arrangements are now in place and the team is in the process of transferring work from the seven existing outsourced contracts over to Carillion-telent.

John Small, managing director for service delivery at Openreach, said: "Openreach is introducing a new way of working with a single nationwide supplier that will drive up quality and lower our cost base, allowing us to continue to build a strong and healthy business. It will deliver more straightforward processes for our people, who are key to the success of this transition.

“We look forward to Carillion-telent's support with all our transition plans, and are keen to build on our strong partnership with the joint venture to deliver continuous improvements going forward."

The closure of the deal follows the publication of a letter of intent in August, signed by Openreach and the JV partners.

Carillion has been providing FM services to BT’s UK estate since 2001.