New Fair Isle ferry to be built in Yorkshire as SIC awards contract

A WHITBY-based company has been awarded the contract to build the new Fair Isle ferry.

Parkol Marine Engineering has been awarded the £5.6 million contract following an open tender exercise.

Shetland Islands Council (SIC) said work is currently ongoing to finalise the vessel design and specification, before fabrication of the new vessel gets underway at Parkol’s boatyard in Whitby, Yorkshire.

The expected handover date for the vessel is October 2026.

The requirement is to construct a new larger, faster monohull vessel built to modern standards to replace the current ferry Good Shepherd IV, which was built in 1986 in Fife.

This new vessel will comply with the MCA workboat code, be able to carry 12 passengers and will have increased lift-on lift-off (‘lo-lo’) capacity for freight operations.

The council said the vessel will also be roll-on roll-off (‘ro-ro’) capable, so that it can use existing ferry linkspans, and be built with a strengthened hull for regular linkspan, quay and slipway operations.

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In addition, harbour infrastructure works are also now underway at Grutness and in Fair Isle.

The anticipated total cost of the project to replace the Fair Isle ferry is £45.4 million, with Shetland Islands Council providing £18.6 million of funding and the UK Government providing a grant of £26.8 million through the Levelling Up fund.