Leicester seeks contractor for station project after earlier tender collapse

Leicester City Council has launched a fresh search for a contractor to deliver a major overhaul of Leicester station after a previous tender failed to attract competitive interest.

The authority is seeking bids for a redevelopment project aimed at transforming the historic gateway into a modern transport hub and public destination.

The contract will run for an estimated three years and six months, from April 2026 to October 2029, with a possible extension of one year.

The council's plans include early contractor involvement and detailed design followed by major construction works.

The scope encompasses complex interventions in and around listed buildings, including the relocation of heritage assets. Other elements include structural and internal modifications to the existing station, highway works, telecoms and mechanical and electrical upgrades, and new public realm.

The winning contractor will be required to comply with Network Rail standards.

The contract is being procured via an open procedure above the relevant value threshold, with publication of the notice expected on 29 July 2025.

The move comes after the council failed to award a previous iteration of the contract, worth £22m, earlier this year.

Only one firm submitted a bid during the initial procurement round in December, and no agreement was reached.

Speaking in January, city mayor Sir Peter Soulsby described the lack of bidders as “very disappointing” and attributed the outcome to widespread capacity constraints across the industry.

He said: “There are a lot of projects out there, but not enough companies to do them.”

The £22m scheme is jointly funded by Leicester City Council and government grants.

Source: Gov.uk Find a Tender