London Daily

Focus on the big picture.
Tuesday, Oct 27, 2026

Humza Yousaf denies ferries contract was awarded for political purposes

Humza Yousaf denies ferries contract was awarded for political purposes

A Scottish government minister has denied claims a £97m contract to build two ferries was awarded for "political purposes".

Humza Yousaf said he did not agree with the assessment of Jim McColl, who owned the yard which won the contract.

The ferries will be five years late and could cost more than £250m - the additional costs will have to be picked up by the taxpayer.

It follows the publication of a damning report by Audit Scotland into the saga.

The watchdog was unable to establish why the order was given to the Ferguson shipyard without normal financial safeguards.

Official documents show several former and current ministers were involved in the decision to award the contract.

And it has led to calls for Ms Sturgeon to make a statement on the issue at Holyrood on Tuesday.

Mr McColl believes the SNP rushed through the contract without safeguards because it wanted good publicity at its party conference in 2015, according to a report The Sunday Times.

It quotes the businessman as saying: "The audit report has revealed we were given the contract for political purposes. Everything was about the optics and timing the announcements for political gain."

Mr Yousaf, a former transport minister who now holds the health brief, told BBC One Scotland's The Sunday Show he did not agree with Mr McColl's assessment.

"The reason we were keen to secure the yard was to secure hundreds of jobs - hundreds of jobs and livelihoods that would be lost," he said.

Nicola Sturgeon was photographed with Jim McColl when she announced Fergusons as the preferred bidder in August 2015


Asked whether Ms Sturgeon would address the issue at Holyrood, he said: "I have never once seen the first minister shy away from parliament.

"She of course took a significant number of questions on Thursday [at First Minister's Questions], so what the parliament chooses to do and who it chooses to call is a matter for parliament."

However, Douglas Ross, the leader of the Scottish Conservatives, described Mr McColl's comments as "extraordinary".

"From what Mr McColl has said, there are serious questions for the first minister to answer," he said.

Who took the decision?


On Thursday Nicola Sturgeon told Holyrood the "buck stops with me" over the deal.

But she highlighted that Derek Mackay was transport minister at the time the £97m contract with Ferguson was signed off. He resigned from the government in 2020 over messages he sent to a teenage boy.

The Scottish government published an email from October 2015 in which his permission is sought to go ahead.

However, other documents on the government website suggest Keith Brown, then infrastructure secretary, was asked to sign off Fergusons as preferred bidder in August 2015 as Mr Mackay was on leave.

The first paragraph of the document addressed to Mr Brown states: "In the absence of the Minister for Transport and Islands on leave (sic), your approval is sought for CMAL to award shipbuilding contracts of a total cost of £96m for 2 new major ferries for the CHFS network to Ferguson Marine Engineering Ltd (FMEL)."

Mr Brown is now the Scottish government's justice secretary.


Shortly after being named as the government's preferred bidder, Fergusons notified CMAL - the government agency which owns and procures ships for CalMac - it could not provide the full Builder's Refund Guarantee (BRG), which was stipulated in the contract.

This would have provided full repayment guarantees if the ships were late, failed to meet specification or if the shipbuilder went bust.

Against the advice of CMAL, the final sign off came in October 2015. An official document shows the final approval was requested of Derek Mackay in a memo copied to Keith Brown.

The memo also notes that John Swinney, the deputy first minister, "approved the financial implications" prior to Ferguson being announced as the preferred bidder by Nicola Sturgeon.

The second ship, known as Hull 802, is still under construction in Port Glasgow


The Scottish Conservatives' Douglas Ross said the documents show the contract was a "done deal long before" Derek Mackay's approval was sought.

"On Thursday, [Ms Sturgeon] tried to say this scandal was all Derek Mackay's fault but there is more and more evidence that she may have misled parliament by making that claim.

"We're giving Nicola Sturgeon every chance to answer these shocking charges. There is no excuse for dodging responsibility and hiding from scrutiny. She must appear before the Scottish Parliament when we next sit on Tuesday to tell the public how and why their money was lost."

The Scottish Liberal Democrats joined calls for a public inquiry, describing the Fergusons announcement at the SNP's 2015 party conference as "probably the most expensive sound bite in the history of Scottish party conferences".

"The SNP just can't be trusted with public funds," Willie Rennie, the party's economy spokesman, said.

A Scottish government spokesman said: "The Scottish government operates under collective responsibility and remains focused on delivery of the ferries by Ferguson Marine.

"The actions that the Scottish government has taken have helped to secure jobs at the last remaining commercial shipbuilder on the Clyde."


Humza Yousaf says he does not agree with claims the contract was rushed through for good publicity.


Newsletter

Related Articles

0:00
0:00
Close
Education or Indoctrination? The Growing Debate Over Religious Participation in British Schools
Germany's Vanishing Shopfronts: The Silent Collapse of the Businesses That Built Its Cities
Northern Ireland Executive Reaches Agreement on Public Transport Modernization and Cross-Border Rail Infrastructure Funding
Department for Energy Security and Net Zero Approves New North Sea Carbon Capture and Storage Industrial Clusters
Office for National Statistics Reports Stabilization in Private Rental Growth Across Major English and Welsh Regional Cities
United Kingdom Automotive Manufacturing Output Rises Moderately as Electric Vehicle Assembly Lines Expand in the Midlands
Competition and Markets Authority Launches Formal Inquiry Into Cloud Computing Infrastructure and Artificial Intelligence Partnerships
Scottish Government Finalizes Emergency Budget Adjustments Following Multi-Year Public Sector Funding Shortfalls
National Health Service England Announces Major Emergency Care Overhaul to Alleviate Severe Winter Capacity Pressures
Chancellor Rachel Reeves Prepares Autumn Budget Amid Intensifying Scrutiny Over Public Spending and Fiscal Rules
Bank of England Signals Cautious Approach to Further Interest Rate Cuts as Persistent Wage Growth and Inflation Pressures Remain
Transport for London Unveils Expanded Zero-Emission Bus Fleet to Meet Capital Air Quality Targets
Higher Education Institutions Face Deepening Financial Strain Amid Declining International Student Enrolment
Automotive Industry Leaders Criticize Government Tax Policies and Urge Action on Retail Consumer Confidence
Environment Agency Issues Flood Alerts Across Scottish and English Waterways Following Heavy Rainfall
Independent Audit Highlights Persistent Security Vulnerabilities Across Legacy Government Digital Portals
Northern Ireland Political Leaders Clash Over Westminster Funding Allocations Ahead of Autumn Budget
Ethnic Minorities in England Face Significant Disparities in Routine Breast Cancer Diagnosis Rates
National Police Chiefs Report Alarming Surge in Domestic Abuse Cases Fuelled by Expanding Illegal Cocaine Market
Government Announces Two Hundred and Twenty Million Pound Pothole Funding Boost for Local Highway Authorities
China Issues Formal Warning Over Potential United Kingdom Restrictions on Chinese Electric Vehicles
British Defence Ministers Sign E5 Pact to Enhance European Military Capabilities and Industrial Cooperation Within NATO
United Kingdom Business Activity Expands at Fastest Pace in Eight Months According to S&P Global Flash Survey
Chancellor John Healey Prepares Major Devolution Package and Bank Profit Surcharge Ahead of Upcoming Autumn Budget
National Health Service Consultants in England Announce Two-Day Strike Action Scheduled for November
Major Clean-Up Under Way Across Britain Following Destruction Caused by Consecutive Storms Austen and Boelo
KEY TRENDS TO WATCH
Declassified Intelligence Files Reveal British Security Services Monitored National Health Service Founder
British Government Launches Sweeping Regulatory Crackdown on High-Risk Cosmetic Procedures
Scottish National Party Demands Ban on Using Scottish Revenues to Fund English Nuclear Energy Projects
Mayor of London Initiates Landmark Pedestrianisation of Oxford Street to Revitalise Global Retail Hub
British Judges Granted Expanded Legal Powers to Punish Convicted Killers Who Refuse to Attend Sentencing
United Kingdom Poised to Miss Reduced International Aid Spending Targets Ahead of Fiscal Review
Surging Cocaine Consumption Drives Record Drug Fatalities and Rising Crime Rates Across Britain
Department of Health and Social Care Announces One Hundred and Forty Million Pound Boost for Urgent Care
British Services Sector Records Strongest Growth in Eight Months Despite Broader Economic Uncertainty
United Kingdom Retail Sales Suffer Unexpected Decline as Consumer Confidence Plummets
Greater Manchester Mayor Andy Burnham Urges National Debate on Restoring European Union Free Movement
Deep Cabinet Divisions Emerge Over Controversial Approval of North Sea Fossil Fuel Projects
United Kingdom Government Urges Citizens to Stockpile Essential Supplies in National Resilience Pivot
Storm Boelo Kills Two People and Cuts Power to Tens of Thousands Across Great Britain
Critical Software Flaw Forces Dozens of United Kingdom Government Services Offline Amid Mass Security Warnings
UK Consumer Confidence Tumbles Amid Rising Energy Costs and Global Commodity Price Pressures
North Sea Transition Authority Approves Production from Jackdaw Gas Field to Bolster Domestic Energy Security
Storm Boelo Leaves Tens of Thousands of Households Without Power Across Scotland and Northern Ireland
UK Government Launches National Be Ready Campaign Urging Households to Prepare Three Days of Emergency Supplies
Department for Environment Food and Rural Affairs Implements Stricter Water Quality Regulations for British Rivers
Welsh Government Launches Major Renewable Energy Initiative to Expand Offshore Wind Capacity Along the Coast
Northern Ireland Executive Reaches Final Agreement on Comprehensive Regional Infrastructure Modernization Plan
Office for National Statistics Reports Moderate Increase in British Retail Sales Driven by Autumn Discounts
×