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Chamber

Meeting of the Parliament (Hybrid) 20 April 2022

20 Apr 2022 · S6 · Meeting of the Parliament
Item of business
Ferries

I welcome this Liberal Democrat debate. The Parliament has just debated the cost of living and now we are debating the cost of the Scottish Government’s failure: severe and unacceptable delays to vessels 801 and 802, which have already cost the taxpayer £250 million.

Ministers say that the process that led to cost overruns and delays was “normal”, as if there is nothing to see here. As Graham Simpson said, let us hear what the Auditor General has to say about that at tomorrow’s meeting of the Public Audit Committee.

The truth is that this is one of the biggest public procurement failures in 20 years, and the failure to deliver the vessels on time and on budget has deprived islanders of the lifeline ferry services that they need. This week, islanders on Arran are yet again feeling the impact of being reliant on old ferries that are in desperate need of replacement.

I believe now, as I believed in 2014, that the long-term solution is a national ferry-building programme, and I believe now, as I believed then, that any replacement programme can bring new opportunities to Ferguson’s and the lower Clyde. Scottish Labour has no truck with those who would have let the jobs at Ferguson’s go to the wall. We will always stand by the dedicated, professional and blameless workforce at Ferguson’s.

However, nobody can excuse the failures and the mismanagement that have led us to where we are now, which put those jobs at risk. Audit Scotland found a “multitude of failings”, and there are still aspects of the scandal that Audit Scotland did not look at, such as the procurement decisions that were taken prior to August 2015 and the adequacy of vessel designs.

There are further questions that Parliament should expect answers to, such as why the Government-appointed turnaround director, who earned £2 million, did not turn around the yard. Transparency and accountability are essential if we are to fully understand what went wrong and to have confidence that the Government can put it right.

I want to be clear about what Scottish Labour believes must happen next. There must be a full public inquiry. There must be clarity about ministerial decisions in relation to the awarding of contracts without full refund guarantees. There must be maximum transparency. The documents that the Scottish Government released more than two years ago were released under Derek Mackay—the minister the Government is now trying to blame for the fiasco.

There must also be real ministerial accountability. The Cabinet Secretary for Finance and the Economy would not stake her reputation on the revised timescales that she announced to Parliament last month. Perhaps she will confirm whether that is still the case when she closes for the Government.

The truth is that responsibility for the fiasco goes straight to the top. There has been a ministerial merry-go-round, with the fiasco extending from the involvement of Alex Salmond in 2014 to that of Derek Mackay, and including Nicola Sturgeon’s launching of one of the ferries before it was done, with painted-on windows. Fiona Hyslop, Michael Matheson, Humza Yousaf and Graeme Dey have all come and gone. Jenny Gilruth is now the Minister for Transport and, today, Ivan McKee and Kate Forbes are speaking for the Government.

It is the Scottish Government that is ultimately responsible for the procurement of the vessels, and it is the First Minister who is ultimately responsible for the Scottish Government. Therefore, Labour is again calling on the First Minister to take direct ministerial responsibility. There should be no more buck passing and no more blame shifting; it is time for real accountability.

Today, we ask Parliament to support our calls for the First Minister to assume responsibility for the Ferguson’s fiasco; finish the ferries, do it right, do it transparently and do what it takes to bring the scandal to an end.

The Lib Dems have rightly asked whether there will be ministerial resignations if there are any more delays or extra costs. I make it clear that I do not think that it matters how the Scottish Government votes or what it says today. If there are any further delays or cost overruns, the public—who have paid the cost of the Government’s failure—will expect resignations.

I move amendment S6M-04051.2, to insert at end:

“; further calls on the First Minister to lead government efforts to secure the completion of vessels 801 and 802 by taking ministerial responsibility for government investments in Ferguson Marine; notes that the associated costs to the taxpayer include almost £2 million paid to a turnaround director of the yard; considers that, given the ongoing delays to the vessels, this cannot be considered value for money; notes that there remain unanswered questions with regards to the awarding of the contract for vessels 801 and 802, and calls on the Scottish Government to confirm whether a ministerial direction was issued and to publish a copy of any such direction.”

References in this contribution

Motions, questions or amendments mentioned by their reference code.

In the same item of business

The Presiding Officer (Alison Johnstone) NPA
The next item of business is a debate on motion S6M-04051, in the name of Alex Cole-Hamilton, on ferries. Members who wish to speak in the debate should pres...
Alex Cole-Hamilton (Edinburgh Western) (LD) LD
The situation at Ferguson Marine has been called many things: a fiasco, a scandal, a farce. It has been described as the height of incompetence and as a comp...
The Minister for Business, Trade, Tourism and Enterprise (Ivan McKee) SNP
I am well aware, as is the Government, that ferries are an essential lifeline for many people in Scotland. Our island communities rely on them for access to ...
Willie Rennie (North East Fife) (LD) LD
If that is all true, why do ferries keep breaking down and why do islanders keep waiting for new ferries?
Ivan McKee SNP
I have made it clear that the Government is committed to expanding the fleet and providing new vessels as quickly as we can. The significant investment of £5...
Liam Kerr (North East Scotland) (Con) Con
Given that, what does the minister say about reports that the equipment—the engines on MV Glen Sannox and hull 802—might actually be out of date?
Ivan McKee SNP
The member will be aware that, because of the delays, work is being done on a regular basis to assess the fitness for purpose of parts that have been purchas...
Jamie Halcro Johnston (Highlands and Islands) (Con) Con
The Audit Scotland report says that “There is no documented evidence to confirm why Scottish ministers were willing to accept the risks of awarding the con...
Ivan McKee SNP
The member should be aware that more than 200 documents have already been put in the public domain with regard to the issues that he is talking about, and th...
Graham Simpson (Central Scotland) (Con) Con
I thank the Liberal Democrats for bringing the issue of ferries back to the chamber. Since we used our own debating time on ferries very little has changed. ...
Ivan McKee SNP
Is it the member’s position that we should have allowed the shipyard to close at that point and that no progress should have been made on the two ferries?
Graham Simpson Con
The minister well knows that nobody has said that. Despite what he said earlier, nobody wants Ferguson’s to close. We know that the vessel that the First Mi...
Neil Bibby (West Scotland) (Lab) Lab
I welcome this Liberal Democrat debate. The Parliament has just debated the cost of living and now we are debating the cost of the Scottish Government’s fail...
The Presiding Officer NPA
We move to the open debate. I call Kenneth Gibson. 16:59
Kenneth Gibson (Cunninghame North) (SNP) SNP
Earlier this month, I visited Ferguson Marine with a number of colleagues. I am sure that, although they are, as I am, disappointed by the delays in building...
Graham Simpson Con
Will the member give way?
Kenneth Gibson SNP
The vessel is now more than 80 per cent complete, and it is expected to enter service in March to May 2023. Ensuring that that happens is the yard’s overridi...
Kenneth Gibson SNP
The company anticipates securing orders from the Scottish Government for its seven-in-three small ferry programme, and it stressed that it is vital for order...
Brian Whittle (South Scotland) (Con) Con
Will the member take an intervention?
Kenneth Gibson SNP
Additional capacity is urgently required. High tides have impacted both the Lochranza to Claonaig and Ardrossan to Brodick routes, and there is now fear abou...
Jamie Halcro Johnston (Highlands and Islands) (Con) Con
Although we have discussed the ferries scandal a number of times before, I welcome today’s debate, as every week seems to bring further revelations and attem...
The Presiding Officer NPA
I will have to stop you there.
Jamie Halcro Johnston Con
—and those who have seen SNP ministers desperate to try to cover up their responsibility for it. 17:08
Dr Alasdair Allan (Na h-Eileanan an Iar) (SNP) SNP
The transport minister was recently in my constituency to hear about the challenges that different communities face on the ferries front. I know that her vis...
Mercedes Villalba (North East Scotland) (Lab) Lab
It was right that Ferguson Marine was brought into public ownership, because its closure would have led to the loss of hundreds of skilled jobs and further w...
Beatrice Wishart (Shetland Islands) (LD) LD
I was asked during last year’s election campaign why I keep speaking about transport. I was surprised that I had to explain that, without good transport link...
Ariane Burgess (Highlands and Islands) (Green) Green
For those who live and work on the mainland, it can be hard to understand how important functioning ferry routes are for island communities. Food and supply ...
The Presiding Officer NPA
We move to closing speeches. 17:23
Rhoda Grant (Highlands and Islands) (Lab) Lab
It is desperately sad that the Scottish Government’s mismanagement has had such a devastating impact on the communities that depend on lifeline ferry service...
Liam Kerr (North East Scotland) (Con) Con
Two themes have come through loud and clear this afternoon. The first is the litany of failures that have characterised this matter since John Swinney first ...