The Early Contractor Involvement design and build contract will see Balfour start on the the 1.5 km scheme in the centre of Hull in 2016/17.
Balfour fought off competition from BAM Nuttall/Morgan Sindall JV, Carillion, Costain and Laing O’Rourke to land the deal which was originally priced at £88m-£134m.
Balfour will convert a major interchange into a split level junction with a two-lane dual carriageway carrying east-west traffic below north-south traffic in a new 400 metre underpass.
The scheme will also include two new bridges which will link the south and north of the city for pedestrians, cyclists and disabled users.
Nicholas Pollard, Balfour Beatty Construction Services UK Chief Executive Officer said: “This award to improve journey times on the main route through Hull builds upon our 20 year portfolio of work for the Highways Agency and our extensive experience of successful delivery of ECI contracts including the recent A3 Hindhead Tunnel and A46 Newark to Widmerpool projects through which we were able to deliver substantial cost efficiencies to the Highways Agency.”