Beijing Construction Engineering Group is coming to the UK. Manchester, to be precise, to help build an £800m urban regeneration project near Manchester’s airport. It is the latest example of China’s growing interest in the UK’s infrastructure and utilities sectors.
Manchester Airports Group (MAG) has selected a consortium comprising BCEG, UK construction firm Carillion, and the Greater Manchester Pension Fund (GMPF) as its partner to deliver the Airport City development at Manchester Airport.
The deal, BCEG’s first in the UK, was announced to coincide with the visit to China of the UK’s Chancellor of the Exchequer, George Osborne, to drum up bilateral trade between China and the UK.
Meeting with CEOs from largest UK & Chinese firms. Pushing for more opportunities for UK firms in #China & more investment in UK
— George Osborne (@George_Osborne) October 14, 2013
The joint venture is the latest in a line of new partnerships between UK and Chinese businesses that has helped make the UK the top destination in Europe for Chinese investment. Osborne said;
We see China’s remarkable economic success story, not as a threat, but a huge opportunity for our country.”
Chinese companies have taken stakes in utilities and big infrastructure projects from Thames Water, Heathrow and Talisman Energy as well as the redevelopment at Nine Elms in London which is expected to attract ?700m of investment.
British companies are also winning contracts on Chinese infrastructure projects, with UK property, architecture and engineering companies working on the US$4 billion redevelopment of Shanghai International Shipping Services Center, and the new Beijing Green Building Park.
Airport City is one of the largest regeneration schemes in the UK and will be the core element of the Government-designated Enterprise Zone at the heart of which is Manchester Airport, the UK’s third busiest airport.
The consortium will start work immediately and the project is scheduled for completion over the next 15 years.
More in this article