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Public Audit Committee
Meeting date: 16 June 2022
Richard Leonard
The local MSP is Stuart McMillan.
Public Audit Committee
Meeting date: 16 June 2022
Richard Leonard
You mentioned a parent company guarantee, which has also been the subject of some interest. Some people have said that they were under the impression that Clyde Blowers Capital would underwrite the work, but you said later that that was never the case.
Public Audit Committee
Meeting date: 16 June 2022
Richard Leonard
Mr McColl, you are going into a great deal of detail here and it might be more—
Public Audit Committee
Meeting date: 16 June 2022
Richard Leonard
In evidence that you gave to the Rural Economy and Connectivity Committee a bit later on, you said that you raised your concerns with the First Minister, the Cabinet Secretary for Finance, Economy and Fair Work, the Deputy First Minister, the Minister for Business, Fair Work and Skills, plus all three transport ministers. I think that you said that with an air of frustration, but you clearly had a very close relationship with a range of Government ministers.
Public Audit Committee
Meeting date: 16 June 2022
Richard Leonard
Okay. I am going to move on. I ask Willie Coffey to ask a couple of questions that he has, and I will bring other people in if they want to come in.
Public Audit Committee
Meeting date: 16 June 2022
Richard Leonard
Mr McColl, if there are any points that you want to address in writing to us after the committee, please do not hesitate to do that. We welcome further written submissions.
Public Audit Committee
Meeting date: 16 June 2022
Richard Leonard
I think that they are, but we are also paying attention to the outcomes here. Here we are, all this time later, and there are still no ferries. This guy may have been the world expert on naval procurement and ferry procurement, but the fact of the matter remains that this contract is two and a half times over budget and five years late.
Public Audit Committee
Meeting date: 16 June 2022
Richard Leonard
Yes.
Public Audit Committee
Meeting date: 16 June 2022
Richard Leonard
We are rapidly running out of time, but I know that there are substantive questions that Craig Hoy and Colin Beattie want to ask. I turn first to Colin Beattie.
Public Audit Committee
Meeting date: 16 June 2022
Richard Leonard
Thank you. You are right to say that we will return to the themes that you outlined in your opening statement in the next hour or so, so thank you very much for that.
You will be aware that the Scottish Government has released a large number of emails that give us some sense of things that were going on from 2015 onwards. Can I take you back to August 2015? We have published correspondence from Transport Scotland to Keith Brown, who was the Cabinet Secretary for Infrastructure, Investment and Cities at the time. On 20 August 2015, correspondence seeks his approval for Caledonian Maritime Assets Ltd to award FMEL shipbuilding contracts of a total cost of £96 million—I think that it went up to £97 million in the next few days—for two new major ferries. Towards the end of that correspondence, reference is made to the potential for a legal challenge from one of the unsuccessful shipyards. The correspondence goes on to state that CMAL was confident that it could defend any challenges in those circumstances, but it also uses the interesting phrase:
“that said, the relationship between Scottish ministers and Ferguson’s owner is well known”.
For the benefit of the committee, can you define the terms of that relationship at that time?