Scotland's nationalized Ferguson Marine shipyard faces an uncertain future after a spending watchdog criticized its governance and highlighted a lack of future work.
The MV Glen Rosa, launched in April, is the second of two delayed ferries being built by the nationalized shipyard in Port Glasgow. The publicly-owned Ferguson Marine shipyard faces an 'uncertain' future, a spending watchdog has warned. The Port Glasgow yard has no work beyond the MV Glen Rosa, which is due to be delivered in September 2025. The Auditor General for Scotland also criticized some recent redundancy payments and highlighted 'inadequate governance and decision-making'.
Ferguson shipyard shortlisted for a new small ferries contract. Deputy First Minister Kate Forbes said the Scottish government was committed to helping Ferguson Marine Port Glasgow (FMPG) reach a position where it could 'competitively bid for a range of projects and build a sustainable future'. The ships have been plagued by design and build problems, ending up four times over budget and six years late. Mr. Petticrew recently told Holyrood's net zero energy and transport committee he believed a failure to properly design the ships before starting construction was at the heart of what went wrong. In his report, Mr. Boyle said no evidence was provided as to how FMPG decided to award two employees redundancy packages in excess of the £95,000 public sector threshold. An internal investigation also revealed the yard's previous chief executive agreed changes to a seconded employee's contract without seeking approval from either the board or remuneration committee. As well as being a failure of procedure, this resulted in FPMG having to pay back £48,000 to HMRC in underpaid income tax. 'Currently the yard hasn't secured any future work or income, beyond the delivery of the Glen Rosa. He added that an independent review of governance arrangements needed to be 'swiftly actioned' to ensure 'poor decisions' were not repeated. The Auditor General said ongoing investment was needed to make the yard competitive and generate future income
Ferguson Marine Shipyard Public Spending Redundancy Governance
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