The highway currently passes through the centre of Muswellbrook. It is predominately a two lane road, restricted by numerous intersections, varying speed limits and nearby buildings with minimal setback from the road. The highway carries between 11,000 and 20,000 vehicles through the township each day, about 13 per cent being heavy vehicles.

The proposed bypass would reduce the volume of heavy vehicles travelling through Muswellbrook, improving safety and amenity in the township. The proposal would improve travel times by providing a free flow 100 kilometre per hour alternative route.

The preferred route corridor for the bypass was published in July 2018 and a preferred option for the bypass was announced in November 2020. The preferred option included a refined alignment of the bypass south of Coal Road, and full southern and northern connections with the existing New England Highway. Feedback received on the preferred option was considered to further refine and prepare the concept design and environmental assessment for the bypass.