Bill for the delayed and overbudget ferries ‘could increase again’
The Scottish Government cannot guarantee there will be no further cost increases for two delayed and overbudget ferries, MSPS have been told.
Wellbeing economy secretary Neil Gray said while he did “not want to see a further cost overrun” for the Glen Sannox and Glen Rosa – both of which are being built by the Ferguson Marine yard on the Clyde – he could not give any firm commitments on this.
“Obviously, I can’t guarantee that,” Mr Gray told MSPS on Holyrood’s net zero, energy and transport committee.
His comments came as the committee scrutinised the Scottish Government’s budget for 2024/25, with MSPS told £42.5 million has been set aside for the two ferries, being built for state-owned operator Calmac, for this financial year.
Mr Gray, who is due to meet bosses at the Port Glasgow shipyard later this week, said previous discussions with senior staff there had “emphasised there is a need for us to deliver these vessels as quickly as possible”. He said: “I don’t want to see any further delay.”
The minister told the committee the government was “bearing down on costs” with regards to the two vessels.
The Glen Sannox and Glen Rosa have faced multi-year delays and have a price tag of at least £360m – compared to an initial estimate of £97m.
Mr Gray said he had stressed to the shipyard that stretched public finances mean “the availability of further resource is limited, and they need to be ensuring they are bearing down on costs”.
However, he said the Scottish Government could consider giving publicly owned Ferguson Marine money to modernise its facilities to try to help make the Port Glasgow yard more competitive when it comes to bidding for other contracts. Asked by committee convener Edward Mountain if there was any money in the budget for the shipyard, Mr Gray said there was “a discussion to be” based on a business plan.
When that happened, he said, the government would “have a consideration over where we can finance it and where that finance would come from”.
He said: “The Government remains committed to Ferguson Marine.”