22 Jun 2006

Interserve, the services, maintenance and building group, and its consortium partners have been awarded the PPP contract by the Scottish Prison Service to construct and operate a new prison at Addiewell, West Lothian.

Interserve will be responsible for the design and construction, working closely with its long-term partner, UKDS (UK Detention Services), which will operate the prison once opened. Construction works will begin immediately and the 700-place facility is expected to open in 2009. The PPP contract will then run for a further 25 years.

The prison will cater for a variety of male prisoners of all ages including those on remand as well as those who have been sentenced.

Interserve will invest 33% of the equity and sub-debt in the project. The other members of the long-standing and successful consortium, which is already responsible for creating and operating Bronzefield and Peterborough prisons in England, are Sodexho (UKDS's parent) and Royal Bank Investments Ltd.

Adrian Ringrose, Chief Executive of Interserve, commented, "We welcome this opportunity to work with the Scottish Prison Service to build a modern, operationally-designed prison. We shall be deploying the innovative construction techniques we have developed in the course of our research and experience in this specialist sector over the last eight years, and look forward to delivering a first-class custodial facility."