The Baird Family Hospital at the Foresterhill Health Campus in Scotland has seen its contract value jump to an extraordinary £270m as a result of unforeseen construction challenges.
The hospital, part of a wider £244.8m healthcare investment adjacent to Aberdeen Royal Infirmary, will provide maternity, gynaecology, and radiology services across approximately 26,000 sqm.
It is intended to replace the ageing Aberdeen Maternity Hospital, which is due for demolition.
Cost and programme pressures
The contract, being delivered by GRAHAM, has now grown to a value in excess of £270m after a series of technical, logistical and market pressures emerged on site.
The project, originally scoped at a significantly lower figure, has been materially affected by ground conditions and supply chain issues, alongside challenges inherent in building within a live hospital environment.
The project has also been overshadowed by a fatal site incident that occurred during construction.
A 52-year-old subcontractor died after sustaining head injuries at the Foresterhill site in January 2023.
Emergency services attended, but the individual was pronounced dead at the scene.
Following the incident, GRAHAM suspended work and confirmed it was cooperating with the Health and Safety Executive and Police Scotland, both of which launched an investigation.
The contractor said at the time it was “deeply saddened” by the event.
While the tragedy was not linked to the project’s financial performance, it drew attention to the inherent risks associated with large and technically demanding construction environments.
The rising cost of the Baird Family Hospital reflects wider pressures affecting NHS estate expansion and modernisation programmes.
This project is currently running approximately two years behind its original completion schedule.