Menu

Ireland's sailing, boating & maritime magazine

Harland & Wolff Scraps its Operator 'Scilly Ferries' Citing Need to Refocus Shipyard Group’s Core Business

1st August 2024
Scilly Ferries closes: According to an update on their social media page the new operator said: It is with great sadness that we announce that Scilly Ferries, including the Atlantic Wolff fast ferry, has ceased operations. The decision has been made because of the need for Harland & Wolff to refocus on its core business activities.
Scilly Ferries closes: According to an update on their social media page the new operator said: It is with great sadness that we announce that Scilly Ferries, including the Atlantic Wolff fast ferry, has ceased operations. The decision has been made because of the need for Harland & Wolff to refocus on its core business activities. Credit: Scilly Ferries-facebook

The Harland & Wolff Group, parent company of Scilly Ferries, which for months has been beset with delays in starting its first season from Penzance Harbour, Cornwall, has announced ceasing operations, writes Jehan Ashmore.

In a statement issued today, the Belfast based shipbuilder group, which has financial difficulties following last week’s refusal of a £200m loan guarantee by the UK Government, said it regrets to announce that Scilly Ferries, including the Atlantic Wolff fast ferry, has ceased operations because of the need for the group to refocus on core business functions.

As the new board assesses all aspects of the group’s activity, the ferry operation was identified as being overly ambitious given the current circumstances. Therefore, we have made the difficult decision to withdraw support for this operation, believing it to be in the best interest of the group.

Harland & Wolff’s Interim Executive Chair, Russell Downs, said: “We understand that this will be difficult news for those affected immediately and for the community it was intended to support.

“It is important to note that this is an isolated and unique situation within the group, which continues to deliver its business as usual, serving its ship repair fabrication and ship building customers.”

The timing of the announcement, on the first day of August, follows a fourth attempt since May to re-start, the latest being the 20th of this month, as Afloat also highlights, notably that this was to have taken place very late into the peak-season of the summer, using the two passenger decks of the 400 capacity catamaran Atlantic Wolff.

The new operator was to offer customers a faster-ferry service of up to 1 hour 50 minutes (90 minutes) compared to the well-established rivals, the Isles of Scilly Steamship Company’s 2 hour 40 minute crossing time.

All customers of Harland & Wolff (Scilly Ferries) Ltd, with existing reservations on the Atlantic Wolff will be contacted directly, while all the staff of the affected new operator have been advised.

In addition, Afloat as previously reported noted of the much smaller fleetmate, Atlantic Express, a RIB based service that was advertised on the company’s social media, but sailings in late July were based on a limited, sporadic basis and weather permitting.

Scilly Ferries had set up an office in Hugh Town on St. Mary's, the largest of the five inhabited islands of the archipelago, but apparently no sailings by the new operator's fast ferry ever took place, according to local media in England’s south-west region.

As for the 42m aluminum Atlantic Wolff, the high-speed catamaran that was designed and built by Damen in 2018, it is to see the craft returned to the Dutch shipyard group.

Another subsidiary of the Belfast shipbuilder, Harland & Wolff Marine Services (formerly Kraken Marine Services), which provides carriage of freight between the mainland and the Isles of Scilly, will continue its operations unaffected. The subsidiary also provides workboats for projects in the UK and Europe.

The development in the UK domestic ferry scene, now leaves clear water, for The Isles of Scilly Steamship Company, established in 1920. In addition to the 'seasonal’ ferry Scillonian III, they provide the year-round operated freight ship, Gry Maritha, and inter-island boat service, as well as aviation links with the mainland through the ‘Skybus’ services.

Published in Ferry
Jehan Ashmore

About The Author

Jehan Ashmore

Email The Author

Jehan Ashmore is a marine correspondent, researcher and photographer, specialising in Irish ports, shipping and the ferry sector serving the UK and directly to mainland Europe. Jehan also occasionally writes a column, 'Maritime' Dalkey for the (Dalkey Community Council Newsletter) in addition to contributing to UK marine periodicals. 

We've got a favour to ask

More people are reading Afloat.ie than ever thanks to the power of the internet but we're in stormy seas because advertising revenues across the media are falling fast. Unlike many news sites, we haven't put up a paywall because we want to keep our marine journalism open.

Afloat.ie is Ireland's only full-time marine journalism team and it takes time, money and hard work to produce our content.

So you can see why we need to ask for your help.

If everyone chipped in, we can enhance our coverage and our future would be more secure. You can help us through a small donation. Thank you.

Direct Donation to Afloat button

Ferry & Car Ferry News The ferry industry on the Irish Sea, is just like any other sector of the shipping industry, in that it is made up of a myriad of ship operators, owners, managers, charterers all contributing to providing a network of routes carried out by a variety of ships designed for different albeit similar purposes.

All this ferry activity involves conventional ferry tonnage, 'ro-pax', where the vessel's primary design is to carry more freight capacity rather than passengers. This is in some cases though, is in complete variance to the fast ferry craft where they carry many more passengers and charging a premium.

In reporting the ferry scene, we examine the constantly changing trends of this sector, as rival ferry operators are competing in an intensive environment, battling out for market share following the fallout of the economic crisis. All this has consequences some immediately felt, while at times, the effects can be drawn out over time, leading to the expense of others, through reduced competition or takeover or even face complete removal from the marketplace, as witnessed in recent years.

Arising from these challenging times, there are of course winners and losers, as exemplified in the trend to run high-speed ferry craft only during the peak-season summer months and on shorter distance routes. In addition, where fastcraft had once dominated the ferry scene, during the heady days from the mid-90's onwards, they have been replaced by recent newcomers in the form of the 'fast ferry' and with increased levels of luxury, yet seeming to form as a cost-effective alternative.

Irish Sea Ferry Routes

Irrespective of the type of vessel deployed on Irish Sea routes (between 2-9 hours), it is the ferry companies that keep the wheels of industry moving as freight vehicles literally (roll-on and roll-off) ships coupled with motoring tourists and the humble 'foot' passenger transported 363 days a year.

As such the exclusive freight-only operators provide important trading routes between Ireland and the UK, where the freight haulage customer is 'king' to generating year-round revenue to the ferry operator. However, custom built tonnage entering service in recent years has exceeded the level of capacity of the Irish Sea in certain quarters of the freight market.

A prime example of the necessity for trade in which we consumers often expect daily, though arguably question how it reached our shores, is the delivery of just in time perishable products to fill our supermarket shelves.

A visual manifestation of this is the arrival every morning and evening into our main ports, where a combination of ferries, ro-pax vessels and fast-craft all descend at the same time. In essence this a marine version to our road-based rush hour traffic going in and out along the commuter belts.

Across the Celtic Sea, the ferry scene coverage is also about those overnight direct ferry routes from Ireland connecting the north-western French ports in Brittany and Normandy.

Due to the seasonality of these routes to Europe, the ferry scene may be in the majority running between February to November, however by no means does this lessen operator competition.

Noting there have been plans over the years to run a direct Irish –Iberian ferry service, which would open up existing and develop new freight markets. Should a direct service open, it would bring new opportunities also for holidaymakers, where Spain is the most visited country in the EU visited by Irish holidaymakers ... heading for the sun!