The contractor building the new National Children's Hospital in Dublin is suing the hospital’s development board in a new €20 million claim. 

BAM lodged proceedings in the High Court yesterday against the National Paediatric Hospital Development Board (NPHDB). 

It is understood that an agreed dispute management process has been exhausted. 

A spokesperson for the NPHDB said that, subject to High Court proceedings, it would not be commenting further. 

BAM had no comment to make. 

It’s understood that the claim went to an independent conciliator who ruled in BAM’s favour for €20 million. 

This was rejected by the NPHDB so BAM has begun legal action. 

The NPHDB is also suing BAM in separate High Court proceedings lodged last year. 

In February, the Public Accounts Committee heard that construction of the new hospital - beside St James's Hospital in the capital - had been delayed again and that it may not open until 2024. 

It was also revealed that costs are spiralling due to Covid shutdowns along with various construction delays and disputes which have pushed back the project. 

The board has submitted an updated report to the Department of Health and there will be a reset of timelines and costs once that is agreed. 

The hospital had been expected to cost €1.7 billion - €1.4 billion to build with another €300,000 for equipment and IT. 

However, the final figure is likely to be much higher once the latest delays have been factored in. 

So far 700 contractor claims have been lodged amounting to €300 million in associated costs.