The Scottish Government said today that it intends to directly award contracts for four new vessels to Ferguson Marine in a move designed to secure the long-term future of the state-owned shipyard.
In a statement to Parliament, Deputy First Minister Kate Forbes said that Ferguson Marine remains “the last commercial shipyard on the Clyde” and plays an important role in skilled employment in Inverclyde and in Scotland’s wider industrial capability.
The statement reiterated that the yard was taken into public ownership in 2019 to safeguard jobs and complete MV Glen Sannox and MV Glen Rosa, and said its priority is now “to secure a sustainable future for the yard, with clear work, improved delivery confidence, and a modernised facility.”
Providing an update on the two dual-fuel ferries, the Government said MV Glen Sannox has completed her first year in service and that MV Glen Rosa continues to progress, with delivery anticipated in the fourth quarter of 2026. The statement acknowledged delays and cost pressures associated with the vessels, stating: “I recognise the frustration felt by Parliament, by island communities and by the workforce due to the delays and cost pressures associated with the Glen Sannox and Glen Rosa.” It added that scrutiny of the yard’s performance and past decisions was “necessary and appropriate.”
Looking ahead, the Government said it proposes to directly award two ferries under Phase Two of the Small Vessel Replacement Programme to Ferguson Marine. In addition, ministers propose to award contracts for replacements for the marine research vessel Scotia and the marine protection vessel Minna. “Together this represents a programme of four new vessels proposed to be built at the yard. This is a substantial and clear demonstration of our confidence in Ferguson Marine.”
The Scottish Government statement said any awards would be subject to legal requirements and value-for-money considerations, with a detailed due diligence process underway. Engagement with the Competition and Markets Authority would also be required before formal contract decisions could be made.
Forbes argued that the proposed vessels are a strong fit for the yard’s facilities and workforce capability, and said strengthened governance and assurance arrangements are now in place. The Government pointed to the publication of the 2024/25 annual accounts and Audit Scotland’s report, which it said demonstrate “measurable improvement in governance and controls compared with previous years.”
The proposed four-vessel programme would form the core of the yard’s workload over the next five years, according to the statement, providing continuity for the workforce and supply chain while allowing capacity for additional commercial work. The Government reiterated that it intends to return the business to the private sector “when the time is right.”
The statement also referenced a previously announced commitment of up to £14.2 million over two years to support modernisation at Ferguson Marine, subject to due diligence. Interim investment has focused on essential repairs, health and safety improvements and targeted equipment upgrades, with further modernisation expected to align with the proposed vessel delivery programme.
Concluding, the statement said “With our proposal to award a four-vessel programme to the yard, we are setting a clear ambition for Ferguson Marine’s future – one built on shipbuilding confidence, capability and continuity. We rescued Ferguson Marine for a purpose and we are determined to see it succeed.”
Four ships should keep Ferguson’s going for about thirty years at their current build rate
Yeah that’s not going withstand a challenge. Just more grandstanding from the SNP. They know they can’t legally do if but they don’t care.
Reckon the Turks might lodge a thing and bluntly say, we can pump these out right after the next ones coming soon… And for less. I’d take that offer.
Two of the vessels are essentially security related and they can slap national security exemptions on them..
Also it’s a state owned shipyard and its role has been to build ships for the Scottish government then it comes under “ In-House” Arrangements (“Teckal” Exemption) essentially if a government run organisation In-House” Arrangements (“Teckal” Exemption): services to the government then it can ignore normal procurement.. as the yard is essentially there to provide ships to the Scottish government it can simply buy them….
The UK government has always been well overzealous in following procurement procedures when it does not need to…
No they aren’t. The SNP claim they are, but they aren’t under the terms of the procurement act.
In the end if the government says they are then essentially they are…
This is the same shipyard that turned a £97,000,000 Contract for two ferries into £400,000,000 for the same two ferries…
I’d have gone with the Turkish. Ferguson, you’ve kinda made yourselves the kind of shipyard that is should perhaps be used to expand Military Contract capacity run by Babcock.
The Scottish government is a bit 50/50 on defence firms…
Think the Turks will get “The Lord of the Isles” replacement order when it is placed.
“Fitted for but not with” (30mm?) for National Security? Only kidding.