Deputy First Minister Kate Forbes has said the Scottish Government is considering options to strengthen financial support for commercial shipbuilding, including potential use of enterprise agencies and the Scottish National Investment Bank.
The issue was raised at Holyrood by Labour MSP Paul Sweeney, who contrasted the strength of Scotland’s naval shipbuilding pipeline with the limited level of commercial shipbuilding activity.
Sweeney referenced the recent steel cut for HMS Bulldog and roll-out of HMS Active at Rosyth, describing Scotland as being at the forefront of Europe’s largest naval shipbuilding programme. He argued that the absence of state-backed finance for commercial projects was a key barrier, citing Germany’s long-running use of state-supported ship financing mechanisms. He asked whether the Scottish Government would commission work on a similar scheme in Scotland to provide confidence to smaller commercial yards, including Ferguson Marine.
Responding, Forbes said she shared Sweeney’s assessment of the sector’s strengths.
“I agree with Paul Sweeney that the strength of the workforce and the pipeline of orders that are coming through on the defence side are indicative of how much respect there is globally for the skills of Scottish shipbuilders,” she said.
On financing, she signalled that options are being examined. “There are certainly options for us to consider, through the enterprise agencies and the Scottish National Investment Bank,” she said.
Forbes also pointed to ongoing engagement with the UK Government’s National Shipbuilding Office, which is exploring targeted financial interventions across the public and private finance landscape.
“There is an opportunity to work closely with the UK Government’s National Shipbuilding Office to ensure that the Scottish shipbuilding industry benefits from the national and international opportunities of its shipbuilding strategy,” she said, adding that she would keep Sweeney updated on progress.
Considering options…. I’m sure I heard that phrase somewhere before. No. Don’t tell me. It’ll come back in a second or two.
That PEMA panel line isn’t at Fergusons? It is the sort of thing that they need….but first they need to find and exploit a credible niche to exist in….a niche where orders flow that Babcock, BAE or H&W are not interested in. Bear in mind that all three of those are investing in expansion and panel lines etc then there is a bit of a question mark about capacity particularly as both H&W and Babcock have plenty of space to expand to increase volumes flowing through their existing panel, coating, welding lines.
The difference is that most nations don’t have three military capable yards….four if you count Barrow.
Then the realisation that H&W is actually multi site…..with Appledore doing sections and smaller ships…..and other sites making barges etc.
But above all else there is plurality of work streams….which is vital for stability of workflow… never depend on just one thing.
I think the line in the picture is one on the three newish ones at Rosyth.
Today the MOD reported that it had taken a decision. It couldn’t reveal what the decsion was for security reasons, but according to the press release, the Minister has passed his congratulations on to the whole civil service, especially the team that actually took the decision. A civil servant, Claire Lee Maydupp, said, “I’ve only been in MOD for six years, so this is the first decision the department has taken in my time here.” She added, “We are all very excited.”
The SNP have poured cold water on the achievement, claiming Holyrood were considering options for two decisions later this year. “Maybe more,” teased Nurther Fayknaymm MSP.