Troubled shipyard ready to go into administration
● The Scottish government said it would prioritise securing jobs
A troubled firm behind the Ferguson shipyard in Port Glasgow has begun the process of going into administration.
Ferguson Marine Engineering directors are expected to serve notice of their intent to go into administration by the end of next week.
The business has been involved in a long-running dispute over the construction of two ferries for Calmac. The Scottish Government has said its priorities include completing the ships and keeping shipbuilding at the site.
Gerry Marshall, chief executive of Ferguson Marine Engineering Limited, said: “It is with great regret and disappointment that the directors of Ferguson Marine Engineering Limited have served notice to appoint an administrator to the Company.
“This decision has not been taken lightly, but the directors do not consider there to be any other options in the current circumstances. However, the directors will continue to support the shareholder and the Scottish Government to realise a positive outcome for the business and its employees.”
A statement from Clyde Blowers read: “It is with great regret and disappointment that Clyde Blowers Capital (CBC) notes that the directors of Ferguson Marine Engineering Limited have begun the process of placing the business into administration.
“We understand that this decision has not been taken lightly and is fundamentally due to CMAL and the Scottish Government’s inability to find a resolution to the additional costs encountered during the build of the two prototype LNG dual-fuelled ferries. As shareholder we have provided a number of viable proposals to avoid the process of administration and save the jobs of 350 employees, however CMAL and the Scottish Government have consistently refused to participate in productive discussions, leaving the directors of Ferguson Marine Engineering Limited with no other options given the circumstances they are faced with.”
A Scottish Government spokeswoman said: “Our priority remains to ensure the completion of the vessels under construction, secure jobs for the workforce and protect the future of shipbuilding at the site. It is disappointing that we have not been able to reach a commercial solution.”