Ferguson shipyard to be given contracts to build four vessels

The Scottish government has revealed plans to directly award contracts to the publicly owned Ferguson Marine shipyard for the construction of four new vessels. These contracts include building two small ferries alongside a marine research vessel and a marine protection ship, according to announcements made in the Scottish Parliament. However, these decisions remain conditional upon a due diligence process.

Transport Secretary Fiona Hyslop clarified that the contract for replacing the CalMac ferry, MV Lord of the Isles, will not be directly awarded but rather subjected to a competitive tendering procedure. Meanwhile, contracts for two new vessels intended for the Sound of Harris and Sound of Barra, part of the Small Vessel Replacement Programme’s second phase, are proposed to go straight to Ferguson Marine. Deputy First Minister Kate Forbes also announced plans for the shipyard to receive contracts replacing the Scotia research vessel and the Minna protection vessel. Forbes emphasized that these contracts could unlock up to £14.2 million in funding aimed at modernizing the Port Glasgow shipyard.

Addressing the Scottish Parliament, Kate Forbes stressed the importance of these contracts in ensuring dependable ferry services vital to island communities. She highlighted that securing these projects would help Ferguson Marine maintain its skilled workforce and sustain industrial capabilities in Inverclyde, a region challenged by social deprivation and job losses. Forbes added that while Ferguson Marine currently remains publicly owned, there is an intention to return the business to private ownership “when the time is right.”

Ferguson Marine, which dates back to 1903 and has constructed around half of CalMac’s current large vessel fleet, has faced difficulties stemming from delayed and over-budget production of the large dual-fuel ferries Glen Sannox and MV Glen Rosa. The latter, originally scheduled for delivery in 2018, is now expected to be completed by the end of this year. Despite these setbacks, Ferguson Marine has a proven track record in building small ferries and is set to produce new vessels designed to withstand more challenging sea conditions than those recently built by a Polish yard. The contracts to replace older marine research and protection vessels also represent a continuation of the shipyard’s longstanding legacy at Port Glasgow.

Industry leaders expressed optimism over the new contracts. Ferguson Marine’s chairman, Duncan Anderson, stated that these projects would position the shipyard as “a leader in the industry in years to come.” Chief Executive Graeme Thomson praised the team’s expertise and confidence in delivering vessels that will serve local communities and support critical marine research. Union representative Louise Gilmour echoed these sentiments, underscoring the significance of the shipyard’s historic and future role in a “island nation” reliant on shipping services.

Political reactions varied: Conservative transport spokeswoman Sue Webber welcomed the government’s commitment to privatize the yard eventually but voiced concerns over past management of the Glen Sannox and Glen Rosa projects. Scottish Labour MSPs also greeted the announcement positively, though Rhoda Grant cautioned that the timing appeared politically motivated ahead of the upcoming Holyrood election and emphasized ongoing disruptions in CalMac services that need addressing. She urged ministers to take responsibility and ensure affected communities receive appropriate compensation

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