Aberdeen’s flagship Union Street regeneration project is “likely” to face further delays and may not be completed until summer 2026, Aberdeen City Council has confirmed, extending the timeline for the already-disrupted £17-20 million transformation programme.
The setback marks the second major delay to the scheme, which was originally scheduled to finish by autumn 2025. Council officials had already pushed the completion date back to spring 2026 in March this year, citing contractor productivity issues and unexpected complications beneath the historic thoroughfare.
A report prepared for the council’s finance committee reveals that a number of outstanding risks within the planned works remain unresolved and “are likely to extend the works into summer 2026”. The disclosure comes as contractors continue to grapple with complex underground obstructions that have significantly impacted the project timeline.
Underground discoveries?
Construction teams working on the central 300-metre section between Market Street and Bridge Street have encountered a series of unexpected obstacles hidden beneath the 200-year-old street surface.
Morrison Construction Infrastructure, the main contractor for the Aberdeen City Council development, has uncovered more than 20 clusters of previously uncharted utility services, including clusters of electric cables, gas and water pipes that were not documented on any existing maps or diagrams.
Among the most significant discoveries was an unknown capped-off concrete access shaft leading to a 10-metre deep underground culvert. Due to the risk of collapse, the access shaft could not be safely removed, forcing the project team to devise an alternative engineering solution and redesign the new street drainage system around this major obstacle.
Workers also uncovered eight old electric tram power cables encased in timber-framed wooden boxes, waterproofed and insulated with bitumen. Electric trams began operating in Aberdeen in 1899, and these historical relics had remained undocumented for over a century. Additionally, a 46-centimetre diameter cast iron pipe, believed to be an obsolete water main, was found extending the length of the work site and required removal.
“Despite the challenges presented by these unexpected underground discoveries, the team remains committed to delivering the much-needed upgrades to Union Street Central,” said Rod Buchan, construction manager at Morrison Construction Infrastructure.
John Edwards, project director for hub North Scotland, the council’s development and delivery partner, acknowledged the difficulties: “The project team went to great efforts before works started to determine what lay beneath the ground. However, there is always a possibility of finding these uncharted obstructions which can be incredibly frustrating for the site team and can have an impact on progress”.
Productivity concerns
Beyond the underground complications, council documents have cited “less than required contractor productivity” as a contributing factor to the delays. In a report submitted to the council’s finance committee in March, chief capital officer John Wilson outlined several reasons for the setbacks, with contractor productivity specifically highlighted as a concern.
Impact on Aberdeen’s struggling high street
The extended disruption comes at a challenging time for Union Street, Aberdeen’s traditional commercial thoroughfare. Recent surveys show vacancy rates on the street have risen to between 21% and 23%, with 40 to 43 ground-floor units sitting empty as of 2025.
In February 2025, property consultancy FG Burnett reported that the void level had increased from 18% to 21% since the previous August, halting a positive trend that had seen vacancies fall back to pre-Covid levels. Notable closures included RBS, the Tourist Information Office, and retailer Bravissimo, though some of these decisions reflected national policy rather than local conditions.
The ongoing roadworks have effectively sealed off almost the entire width of Union Street between Market Street and Bridge Street since summer 2024, with disruption now set to continue for another full year beyond original projections.
Progress?
Despite the delays, some progress has been achieved. In September 2025, permitted vehicles were switched over to a new granite setts carriageway on the east section of the site, marking the first phase of traffic running on the new road surface. The road surface features traditional setts manufactured by Elgin-based family business Tennants using granite from local quarries.
By October 2025, work was progressing along the north footway from the former RBS site moving westwards, with drainage work advancing and protective measures installed around existing basements and previously unknown structures uncovered during the works. Excavation work had also begun to the east of Union Bridge, preparing the ground for drainage, kerb logs, and formation slabs.
The council has maintained that access continues to all shops and businesses for pedestrians during the works, as well as access for delivery vehicles and emergency services.
The extended timeline means businesses and residents face at least another year of disruption on what was once Scotland’s third city’s premier shopping destination. With vacancy rates already elevated and footfall challenged by ongoing construction, the delay represents a significant setback to efforts to revitalise Aberdeen’s historic city centre.
