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Insider UK
Politics
Craig Paton & Peter A Walker

Mackay says ferries contract decision 'was not politically motivated'

Former finance secretary Derek Mackay has rejected claims the awarding of a contract for two ferries - which are over budget and late - was politically motivated.

Mackay, who quit the Scottish Cabinet in 2020 after messages he sent to a 16-year-old boy were made public by the Scottish Sun, was the transport minister who awarded the contract to Ferguson Marine in Port Glasgow in 2015.

The yard has since been nationalised to save it from administration and the Glen Sannox and the as-yet-unnamed hull 802 are projected to cost two-and-a-half times more than planned and be delivered five years late.

Critics have claimed the contract was rushed to allow for an announcement to be made at the SNP conference in 2015, but the former minister rejected the assertion.

“Nobody was ever compromised on that matter, the decision to award the contract to Ferguson was based on Ferguson’s bid, nothing else,” he told the Public Audit Committee at Holyrood.

Mackay, who has not been seen in Holyrood since he quit as finance secretary, also said he “can’t imagine” First Minister Nicola Sturgeon was involved personally in the procurement of the ferries.

The former minister left the committee room through an alternative exit, avoiding waiting journalists.

In the session, Mackay also rejected claims he has been put up as a “fall guy” for the Scottish Government in recent years, having left politics.

“I said in my opening remarks to committee that I’ll take my share of responsibility and I’ll answer robustly any decision that I have taken,” he said in response to Conservative MSP Craig Hoy. “But equally, I recognise the catastrophic failure at Ferguson to complete the ferries on time and on budget, that is deeply regrettable.

“What I don’t regret is protecting the workforce, and ensuring that the yard was supported, it has a future and we were able to support Scottish shipbuilding.”

When asked who else has to share in the responsibility, Mackay said: “According to the Auditor General and the previous [Rural Affairs and Connectivity Committee] in the previous Parliament, there are multiple failings.

“I don’t think it all rests on me, but other people have advised there are multiple failings here.”

Committee convener Richard Leonard commented: “Today brought clarity to some central issues the committee has taken evidence on, however there remain major differences in the versions of events stretching back to February 2015.

“We have today decided to invite the First Minister to give evidence at a future meeting to help us get to the bottom of what has gone badly wrong with the delivery of ferries 801 and 802 for the Clyde and Hebrides.

“We will also consider any further next steps necessary to be able to report to Parliament on our findings.”

The committee probe was prompted by a report from Auditor General Stephen Boyle, who found there to be a lack of documentary evidence for the decision to move ahead with the contract despite the lack of a full builder’s guarantee – an industry standard designed to protect the buyer.

Business minister Ivan McKee confirmed this week that the vessels are on track to be delivered in May and December of next year respectively and there is currently no expected increase to the projected overspend.

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