By Chris McCall
Copyright dailyrecord
John Swinney has been urged to “fight for Fergusons” by directly awarding a CalMac ferry replacement contract to the embattled shipyard. It comes as community leaders from Inverclyde and trade unions published an open letter to the First Minister calling for a replacement for the ageing Lord of the Isles ferry to be built in Port Glasgow. The campaign has been organised by the GMB union and is supported by a cross-party group of politicians including Inverclyde Council leader Stephen McCabe and Greenock MSP Stuart McMillan. Ferguson Marine was nationalised by SNP ministers in 2019 after the business came close to collapse while building two CalMac ferries, the Glen Sannox and Glen Rosa. The boats were ordered as long ago as 2015 but a combination of design changes, staffing shortages and boardroom turmoil means the Glen Rosa has still yet to enter service. The massive cost overruns involved in the vessels’ construction means many fear Fergusons will not survive in the medium term unless it secures fresh orders. The yard missed out on a contract to build several smaller ferries earlier this year when the SNP Government handed work to a Turkish firm instead. The direct award of the contract to replace one of Scotland’s most famous ferries will help secure the future of Ferguson Marine and allow it to rebuild after a bruising decade,” the letter said. “Responsibility for the delayed delivery of the two ships most recently built there can be debated but the skilled and committed workforce is entirely blameless. “Those workers only want to restore their yard’s former reputation for excellence and deserve that opportunity. “Fergusons has built ships for more than a century – including a third of CalMac’s current fleet – and, until recently, its history was one of achievement. “The Clyde’s last non-naval shipyard can, with support and sound management, achieve again.” Asked about the letter today, Swinney said: “I’m fully aware of the proposals of a direct award for the successor Lord of the Isles vessel to Ferguson Marine. The Government is actively considering those issues and all that’s involved.” Swinney went on to say there was “huge complexity” in a direct award. Bosses at the yard are trying to focus on the future and secure more work to ensure the last commercial shipbuilder on the once-burgeoning Clyde remains open. The letter added: “It has been and remains a foundation stone of the Inverclyde economy, creating and sustaining high-quality jobs and apprenticeships for generations,” the letter said. “The relentless criticism and speculation surrounding the yard’s future is corrosive, however, and that uncertainty could, and should, be dispelled by the direct award of this contract.” The campaign warned UK shipyards, will always struggle to compete with their overseas counterparts due to higher levels of state subsidies and lower wages driving down costs abroad. The Scottish Government has so far resisted calls for a direct award of contracts to Ferguson, fearing such a move would fall foul of state aid regulations, leaving the decision open to legal challenge, something Deputy First Minister Kate Forbes has described as “the worst of both worlds”. Ferguson Marine’s new chief executive Graeme Thomson said that without the contract for the Lord of the Isles, the yard would “struggle”, calling for the direct award at a meeting of the Scottish Affairs Committee at Westminster in July. A spokesman for Transport Scotland said: “Shipbuilding is a competitive global market and any direct award of a public contract must comply with procurement rules and be capable of withstanding legal challenge. “Ministers consider vessel contracts at an appropriate time on a case-by-case basis to determine whether any might legally be open to direct award and also review potential community benefits. “Under public procurement and subsidy control rules, direct award of public contracts is only possible in strictly limited circumstances. “We are currently considering the business case and next steps in relation to the Lord of the Isles replacement and will confirm these in due course.” To sign up to the Daily R ecord Politics newsletter, click here