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Shipyard in Scotland Rescued Could Create More Jobs to Complete Controversial Ferry Project

20th August 2019
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Scottish Economy Secretary, Derek Mackay, at the now newly nationalised Ferguson Marine shipyard located at Port Glasgow on the Clyde. AFLOAT adds in the background is MV Glen Sannox, the first of a pair of CalMac ferries which have incurred a huge over-run on a contract with Caledonian Maritime Assets Ltd (CMAL) ferries. Scottish Economy Secretary, Derek Mackay, at the now newly nationalised Ferguson Marine shipyard located at Port Glasgow on the Clyde. AFLOAT adds in the background is MV Glen Sannox, the first of a pair of CalMac ferries which have incurred a huge over-run on a contract with Caledonian Maritime Assets Ltd (CMAL) ferries. Photo: The Scotsman-facebook

Additional jobs,The Scotsman writes, could be created at newly nationalised Ferguson Marine in order to complete the two vessels which nearly sank the shipyard, Scotland's economy secretary Derek Mackay has announced.

Speaking after the first meeting of the Programme Review Board, set up by the Scottish Government to run the yard, Mr Mackay suggested that workers who had been made redundant as Ferguson Marine faced administration, may be rehired.

However, he admitted that the Board had not yet looked at the firm's books, but said the aim was to ensure the ferries were completed at the "lowest possible cost to the taxpayer".

The Board was established last week to rescue the Port Glasgow shipyard as it faced administration after a huge over-run on a contract to complete two Caledonian Maritime Assets Ltd (CMAL) ferries. Ministers effectively nationalised the shipyard under an agreement with the administrators which will see them buy the facility if no private bid emerges within the next month.

The yard, which employs 300 staff, had faced closure five years ago, but was saved by SNP economic adviser and billionaire businessman Jim McColl, and then won the £97m public contract to build the two ferries for Caledonian MacBrayne. However as costs mounted, the Scottish Government loaned £45m to Ferguson Marine in an attempt to get the ferries completed - money it may now have to write off.

For further reading click here on the much delayed duel-fuel ferries destined to serve the Isle of Arran and on the Uig Triangle services.

Published in Ports & Shipping
Jehan Ashmore

About The Author

Jehan Ashmore

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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. 

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