Minister announces major progress on hospital plans

Plans for Jersey’s new hospital have taken a “major” step forward, according to the island’s government.

Two firms have now been appointed to carry out work on the £710m Overdale Acute Hospital project. Bouygues UK has been selected as the preferred contractor for the main construction phase, while Ashbe Construction has been awarded the contract to prepare the site.

Figures released on Monday by the Treasury and Resources Minister show that spending on efforts to develop a new hospital and wider healthcare facilities has reached £204.2m since 2012. The total reflects several previous attempts to deliver a new hospital, including two unsuccessful planning applications for the Gloucester Street site and the later-approved “health campus” proposals at Overdale.

The government confirmed that, following approval of the planning application in February 2025, the planning permit has now been issued, clearing the way for construction to begin.

Ashbe Construction will begin by installing hoardings and preparing the site ahead of groundworks.

Deputy Tom Binet, Minister for Health and Social Services, said the project was “further along than we have ever been”.

He added: “Not only is work continuing at Overdale, but the acute hospital has also secured its planning permit, which is crucial as we move into the final stages of procuring a main works delivery partner. In the next phase, the new healthcare facilities team will work closely with Bouygues UK to achieve the best commercial outcome for islanders as we progress the largest of the new facilities projects. Our aim is to agree the main works contract early next year and start construction of the new acute hospital as soon as possible after that.”

Bouygues UK chair and CEO Philippe Bernard described the project as “a significant investment in the island’s future”. He said the company planned to support local employment, collaborate with island suppliers, and invest in skills development to deliver long-lasting benefits beyond construction.

The government also confirmed that a reserved tenderer has been identified to ensure commercial resilience if final contract terms cannot be agreed with the preferred bidder. The name of the reserved tenderer has not been disclosed.