New hospital builders yet to sign contract

The company selected to build Jersey's new hospital has yet to sign its contract five months after being named the preferred bidder, a minister has confirmed.

Bouygues UK was chosen in November last year, and there had been hopes to reach an agreement "in early 2026".

Health Minister Tom Binet said there was "nothing untoward" about the delay and the government was "still working hard on the contract". Bouygues UK has been approached for comment.

The site is currently being prepared by another firm before the main construction project begins.

Speaking to the BBC, Binet confirmed the government was still "working hard on the contract", with the British arm of the French construction firm.

He said it was a "big contract" and both sides wanted finer details sorted in a period of global uncertainty.

In November last year, Binet said: "Our aim is to reach an agreement on the main works contract early next year [2026] and begin construction of the new acute hospital as soon as possible thereafter."

Most recent figures put the cost of the new hospital at £710m, although costs in the supply chain have risen sharply since.

Speaking last month, chief executives of some of the UK's biggest construction industry bodies said "prices are changing so rapidly that some companies are struggling to obtain reliable quotes".

Binet said he hoped the talks were in final stages but said "nothing is done until the contract's signed".

He also revealed the government did still have a backup developer in reserve, which he said was essential.

Bouygues UK's chair and CEO Philippe Bernard previously said its selection as the preferred bidder of the hospital will "create long-term benefits that will endure well beyond the construction phase".

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