The $381 million Muswellbrook Bypass is powering forward with early work well underway and a refined design to deliver safer journeys, faster freight movements and better outcomes for the local community.

Jointly funded by the Albanese and Minns Labor Governments, the Australian Government is investing $304.8 million and the NSW Government $76.2 million to deliver the transformative New England Highway upgrade.

The bypass will reshape travel through the Upper Hunter by diverting around 2,500 heavy vehicles a day away from Muswellbrook's town centre, creating safer roads, more reliable freight movements and a more connected community.

Every day, around 20,000 vehicles travel through the heart of Muswellbrook.

Once complete, the bypass will provide a free-flowing 100 km/h alternative route for through traffic, cutting congestion, improving travel time reliability for freight operators and reducing conflicts between heavy vehicles, local traffic, pedestrians and cyclists.

The project's refined design delivers a safer, more resilient and more efficient road network.

Key refinements include:

• a safer intersection at Milpera Drive
• improved northern and southern connections
• better local road access
• a dedicated U-turn facility on the New England Highway north of the project.

The updated design also reduces flooding impacts, improves traffic movements and minimises property acquisition.

The project is expected to provide a significant boost to the regional economy, supporting about 720 jobs during construction.

Early works are progressing across the project, with the Aboriginal cultural heritage salvage program, undertaken in consultation with the local Aboriginal community, completed in late 2025. Utility relocation work is underway, and dynamic compaction work is now progressing on a section of the alignment crossing a backfilled open-cut mine ahead of major construction.

Completing this work ahead of the main construction contract will help reduce project risk and minimise potential delays during construction.

The project is also moving closer to major construction, with shortlisted applicants progressed to the Request for Tender stage.

The project has been fast tracked with main construction expected to start in 2027.

For more information visit www.transport.nsw.gov.au/projects/current-projects/muswellbrook-bypass-new-england-highway.

Alongside the bypass, Wybong Road and Bengalla Link Road have now both been officially re-categorised as state roads, recognising their strategic importance to the regional freight network.

The reclassification means the NSW Government will take responsibility for their ongoing maintenance, reducing costs for Muswellbrook Shire Council.