A ground-breaking ceremony was held to mark the beginning of construction on the Broughton Bypass yesterday, 11 January.
The project is being built by HOCHTIEF (UK) Construction and aims to reduce traffic travelling through the centre of Broughton on Garstang Road by up to 90%.
The scheme is being funded through both the Preston, South Ribble and Lancashire City Deal, as well as the £251m Lancashire Growth Deal.
The new bypass will help support a new Taylor Wimpey housing development on the former Whittingham Hospital site, where approval has been given for a development of 650 homes and 9,000 sq m of space for business use. It is understood 150 new homes will be built in the first phase.
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Once the new structure has been built, further work will take place in the village itself to discourage traffic and improve the environment for residents, pedestrians and cyclists.
Edwin Booth, chair of the Lancashire Enterprise Partnership (LEP), put the first spade in the ground to mark the start of development.
He said: "This is yet another major project that is going ahead with funding through the Enterprise Partnership.
"The aim of the City Deal is to unlock the economic potential of the area, creating new jobs and making it easier for residents and businesses to get around.
"Our plans include major improvements to the road network, which will encourage new business and housing developments, along with a range of other improvements to local communities as places to live and work."
Preston City Council Leader, Peter Rankin, said: "This is an important moment for Preston. We're talking hundreds of millions of pounds of investment in the city's infrastructure to create a lasting legacy for future generations. This is only possible through the £450m City Deal which we have secured for the area, despite recent reductions to overall council funding.
"The new Broughton bypass tackles one of Preston's key traffic hotspots. It improves traffic flow around Preston, boosts air quality and unlocks areas for new housing and business development. The City Deal is transforming the local area and unleashing Preston's true potential as the economic engine of Lancashire."
(LM)
