The £29M transport hub scheme is designed to improve city centre journeys for people living in, working in or visiting the city.
Main contractor Willmott Dixon has confirmed that structural steelwork will play a significant role in the project as the bus station will be steel-framed and the car park will have a composite design with steel supporting precast planks.
The scheme is expected to create up to 200 jobs in the city, and could deliver an economic boost worth £9M a year.
The Department for Transport is providing £11M towards the project, with the City of Lincoln Council providing £16M and the Greater Lincolnshire Local Enterprise Partnership contributing £2M.
The city’s MP Karl McCartney said: “I am delighted that the Government continues to back Lincoln with its support for funding vital transport projects and the Transport Hub is no exception.
“The construction of the transport hub is another important step forward in making Lincoln the most vibrant, successful and modern city in the whole of the East Midlands. Lincoln is rapidly becoming the place to live, work, visit and study.”
The project is expected to start within weeks.