The department is moving the project forward as part of the Government's Prison Estate Transformation Programme, which is reforming and modernising the prison estate to ensure conditions are suitable for rehabilitation of offenders while reducing crowding across the estate.
Kier Major Projects secured the design and construction contract for the development, which will see a 1,680-place category C resettlement prison built on the same site as the former HMP Wellingborough.
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The programme will also deliver a new prison at the former HMP & YOI Glen Parva in Leicestershire and a new house block at HMP Stocken, in Rutland.
Work is scheduled to begin on the project next month and is expected to be completed by autumn 2021.
Prisons Minister Rory Stewart said: "I am committed to the building of up to 10,000 modern and decent prison places to replace old, expensive and unsuitable accommodation, and the start of work at Wellingborough is an important step forward.
"Providing offenders with decent conditions and regimes is absolutely key to turning their lives around and ultimately keeping the public safe."
Mark Pengelly, executive director of Kier Major Projects, commented: "We're very proud to have been appointed to deliver the new resettlement prison at Wellingborough and look forward to working closely with the MoJ and using our experience in new-build prison programmes to deliver first-class rehabilitation facilities.
"We are dedicated to investing in the communities in which we work and our commitment to apprenticeships and job opportunities will not only help address the skills shortage that our industry faces but also provide a lasting legacy for the people of Wellingborough."
(CM/MH)
