Finance Secretary John Swinney MSP, has today announced that he will fill the revenue gap of almost £6m (based on SIC’s calculation) required to run Shetland’s inter-island ferries.
Shetland Islands Council runs ferry services to nine remote islands, carrying around 750,000 passengers every year on its 12 ferries. During the next financial year, the service will cost over £23m to run.
Commenting on today’s announcement during the Budget, Emma Macdonald, Leader of Shetland Islands Council, said:
“The importance of the inter-island ferry service to life in Shetland cannot be overestimated. The ferry service is the social and economic backbone of our islands. The ferries take commuters to work and essentials to community shops. The ferries take patients to hospital and children to school. They are a lifeline in the truest sense of the word, and the key to unlocking economic success not just for Shetland, but for all of Scotland.
“Our engagement with John Swinney and his team at the Scottish Government has been extremely open and productive. John understood our concerns, he understood the importance of the services, and he responded immediately.
“His announcement today will keep people on our boats, and keep our boats in the water.”
The average age of Shetland’s ferry fleet is almost 30 years old. Four of the vessels are approaching 40 years old. Shetland Islands Council is in discussions with the Scottish Government, the UK Government and others about the future of these routes, either via replacement vessels or tunnels.
The inter-island routes are of significant economic importance. They serve salmon farms and other aquaculture and fishing operations, they are the only route to the Saxavord Spaceport and they play a vital role in Shetland’s, and therefore Scotland’s, renewable energy future.