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Work on Bermuda's new $40 million prison is set to finish -- five months late.

But last night Works and Engineering Minister the Hon. Leonard Gibbons said these had now been sorted out.

"The contractor has indicated work will be complete later this week -- or early next week.'' Mr. Gibbons said the prison -- originally meant to open on October 15 last year -- would then be inspected.

After that, the prison, which will house 206 inmates, would be handed over to the Health and Social Services Ministry.

Mr. Gibbons added Government would be seeking damages from the contractor, Sea-Land Construction, for the delay.