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Birmingham City Council to hand over management of roads to Amey

He added: “This project will provide a significant investment in our roads to bring them up to a good standard and then maintain that for a generation.

“This is a deal that can deliver the well-maintained highway network that the people of Birmingham truly deserve.”

He said the agreement would mean £1.2 billion more being spent on the highways over 25 years than the council would otherwise have been able to afford.

Mel Ewell, Amey chief executive, promised to create 300 new jobs in Birmingham on top of 300 council employees who will be transferred.

He said: “We are looking forward to delivering not only a step change in the city’s highways infrastructure, but also supporting Birmingham’s vision to be a global city with a local heart.

“Very quickly, the people of Birmingham will see the investment and improvement in roads and the general infrastructure.”

He promised to use Amey’s size to deliver economies of scale and seek efficiencies in the management of highways.

Council chief highways engineer John Blakemore promised “unprecedented activity” on the roads of Birmingham over the next few years.

Birmingham Street Services said it was disappointed not to be selected, but wished Amey “every success” in the future.

>MORE: The long road to the privatisation of managing Birmingham's streets

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