Building a sustainable future for Ferguson Marine

Business plan to improve productivity at the shipyard

Ministers have agreed to support new proposals aimed at enabling Ferguson Marine Port Glasgow (FMPG) to improve productivity and build a sustainable future.

As Glen Sannox and Glen Rosa approach completion, the Scottish Government has been working with the company on a long term business plan which positions the shipyard to bid for and secure new work.

Up to £14.2 million will be invested over two years subject to the plan passing detailed legal analysis and independent financial and commercial assessments, which should be complete by the Autumn.

Separately, talks are at final stages with BAE Systems about FMPG securing further work on the Type 26 Frigate programme.

Deputy First Minister Kate Forbes stressed that delivering productivity improvements and securing commercial contracts were vital components in ensuring the shipyard’s long term future.

Ms Forbes said: “Now that Glen Sannox is approaching handover, our focus is on the next phase for FMPG’s future. That requires change and investment to target new opportunities.

“The Board has developed a business plan that it believes has the potential to secure a competitive future. Subject to independent legal and commercial analysis, the Scottish Government will provide significant new funding to support the yard’s modernisation and improve productivity.

“Additional funding goes hand in hand with winning new commercial contracts, and it is extremely good news that talks with BAE Systems to secure further work have reached this advanced stage.

“Extensive analysis and legal advice confirm that a direct award of the small vessels phase one contract to FMPG introduces substantial risks and uncertainties for the shipyard and the communities which rely on the lifeline vessels, due to the strict conditions imposed by the UK Subsidy Control Act.

“Instead, we will do everything which is legally possible to support the yard and the workforce to secure a long-term future, which is why we have come to an agreement on initiatives and funding to improve productivity.  

“When the Scottish Government stepped in to save FMPG in 2019 we did so to preserve jobs and develop the next generation of shipbuilders on the River Clyde. That commitment remains unwavering. The company will of course be able to consider a bid, either individually or in partnership with other yards, but its long term future depends on winning work on a competitive basis.”

A spokesperson for BAE Systems said: “BAE Systems has a good working relationship with Ferguson Marine, which is a key local supplier of structural steelwork and has built two units for the Type 26 programme.

“We are in advanced negotiations with the company regarding further strengthening our partnership, the placement of additional work subject to agreement of terms and its continued involvement in the programme.”

EVOC to lead project to save Gorgie City Farm

One of Edinburgh’s leading third and voluntary sector organisations is set to take forward plans to find a sustainable community-led future for the Gorgie City Farm site.

Edinburgh Voluntary Organisations Council (EVOC) has agreed to manage a community-led project to find a possible solution, following discussions with the City of Edinburgh Council after the closure of the site last month.

EVOC is one of three partners that make up Edinburgh’s TSI (Third Sector Interface), helping to support and develop the city’s community and voluntary sector, with a role to develop robust solutions and approaches that underpin strong organisations.

Their role will not be to run the farm, but to work with local community, and all stakeholders. This will result in a stronger plan for Gorgie City Farm to re-open, with a strong sustainable plan for the future.

The first step will be for EVOC to bring together a Steering Group – expected to include representatives from the local voluntary sector, campaign groups, the local community and the Council – to work on identifying proposals that could secure its future.  

The partnership Steering Group will start from the principle that it will bring together city experts in key respective fields, to support local volunteering through to organisations who have social enterprise aspirations, and connect these together.

Bridie Ashrowan, Chief Executive of EVOC, said: “We understand that Gorgie City Farm is very important to the Gorgie and the wider Edinburgh community, the many people who have visited, volunteered or worked there, and the City of Edinburgh Council.

EVOC has a long history of supporting community and voluntary organisations, helping them to get established, to grow and assess how to develop, and being the honest broker, to focus minds on the task ahead. 

“We are committed to taking a community led approach to this project, learning from other successful collaborations in the City.

!We have no vested interest in the future of the Gorgie Farm site and will step back if and when a community-led partnership has been established, through the work of the steering group. This will lay the ground work for Gorgie Farm site having a fighting chance of long term viability.”

Council Leader Cammy Day said: “I’m delighted we’ve got EVOC on board for the Gorgie City Farm site as they have a proven track record in supporting local organisations that need expert advice. At the heart of the work they will be taking forward are options for a community-led, collaborative and financially sustainable future for the site.

“I want to thank everyone who has been working so hard both publicly and behind the scenes to find a solution. The work by the campaign groups, volunteers and other partners has been really impressive and shows the strength of feeling towards this valuable community asset which benefits all communities across the city.

“I’m sure the coming months will be exciting times as EVOC brings people, groups and organisations together to look at options for a sustainable future for the Gorgie City Farm site.  I look forward to them presenting a sustainable vision for the future of Gorgie City Farm to the local community soon so everyone in the city can enjoy all it has to offer for years to come.”