Question reference: S5W-23856
- Asked by: Tavish Scott, MSP for Shetland Islands, Scottish Liberal Democrats
- Date lodged: 18 June 2019
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Current status: Answered by Paul Wheelhouse on 23 July 2019
Question
To ask the Scottish Government what savings it forecasts for 2019-20 following the purchase of (a) three passenger and (b) two freight ships for the Northern Isles.
Answer
The Scottish Government invested capital budget in financial years 2017-18 and 2018-19 to secure the three passenger/vehicle and two freight vessels that serve the Northern Isles routes. This investment not only delivered recurring resource savings for the Scottish Government but also importantly ensured that all five vessels were owned by Caledonian Maritime Assets Limited (CMAL) and available for long-term deployment on these routes to support the island communities. The recurring savings flowing from this investment are in the region of £5.5 million in 2019-20. This saving has been factored into 2019-20 budgets contributing towards maintaining a range of transport related policies including reduced fares to and from Aberdeen and Lerwick and to and from Kirkwall and Lerwick, the continuation of the Air Discount Scheme rate at 50 per cent and contributing to meeting wider cost pressures including those associated with inter-island ferry services and Concessionary Travel.