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The cost of completing two delayed CalMac ferries has more than doubled, the Scottish government has revealed.

A row over the construction of two ferries under a £97m deal saw the Ferguson Marine yard in Inverclyde taken into public hands.

Now a new assessment of the vessels has revealed costs have soared and they will be delayed again.

The first ship, Glen Sannox, destined for the Arran route, will not be ready until the last three months of 2021.

Read more here.

Jamie Greene asked what analyses of the impact of the government's decision to strip Abellio of the ScotRail franchise had been undertaken.

Mr Greene also pressed Michael Matheson on who would be running the franchise after March 2022, arguing options should have been examined before announcing the termination of the contrract.

Colin Smyth, the Scottish Labour Party's transport spokesman, said: "For years Scottish Labour have campaigned to end Abellio's shambolic spell in charge of Scotland's railway.

"What we now must know is if the Scottish government intend to make a serious public sector bid for control of ScotRail or whether our railways will be flogged off once more to a foreign-based private company, focused only on profit."

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John Finnie, speaking for the Scottish Greens, called for confirmation a strong public sector bid would be made.

He also stressed there should be involvement of the unions going forward and no extension of driver-only operations.

Scottish Liberal Democrat transport spokesman Mike Rumbles said:"The government must now take action to make sure that there is stronger protection for customers in the future franchise agreement."

Mr Rumbles also called for the inclusion of more break points in the new contract to ensure there is a much better chance to addressing poor performance earlier.

Andrew Kerr
Scottish political correspondent

The Scottish government has ditched the Dutch operator Abellio from the ScotRail franchise, meaning their involvement in the service will come to an end earlier than planned.

Abellio say they're "hugely disappointed" by the decision, but the move has been welcomed by opposition political parties at Holyrood.

The political pressure over rail has been huge on the Scottish government.

The opposition, Labour in particular, have highlighted what they see as the deficient service provided by the Dutch operator Abellio on Scotland's railways since they took over in 2015.

They say there's over-crowding, high ticket prices and too many cancellations.

Transport Secretary Michael Matheson told MSPs he would terminate the contract early in March 2022.

He said a proposed increase in government subsidy for Abellio would not deliver sufficient benefit to passengers and the economy.

Abellio said they were deeply disappointed - believing it was the wrong choice. Labour said they were "glad" the contract had been ended -- but the Conservatives questioned what future plans had been made.

Abellio say they are hugely disappointed by the decision and believe it’s the wrong choice for Scotland’s Railway and its customers.

“Abellio has invested more than £475million in new and upgraded trains, added 23 per cent more seats for customers and created more than 500 extra jobs in Scotland since the start of the franchise in 2015 - the biggest investment in trains and stations in over 150 years.

“Our offer to Transport Scotland would have delivered an improved service for our customers at a reduced cost to the taxpayer.

“We will remain fully committed to running a safe and reliable service until the end of the contract in 2022. While this decision creates unnecessary uncertainty for more than 5,200 staff and our customers, we will maintain our focus on delivering vital projects for Scotland’s Railway and seeing through the delivery of significant customer benefits until 2022.”

Image source, PA media

Transport Secretary Michael Matheson has confirmed the Abellio ScotRail contract is to end early, in 2022.

The Dutch operator has been running the service since 2015 but has faced criticism over cancellations and performance levels.

The firm was contracted until 2025, but Mr Matheson said a so-called "break clause" would be used to end the franchise in March 2022.

He told MSPs he was looking at other options, including the public sector.

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MSPs are debating the Female Genital Mutilation (Protection and Guidance) Bill, external for the first time.

It would see the creation of protection orders to protect a girl or woman at risk of FGM or to prevent further harm if it has already occurred.

The practice has been illegal since 2005 but to date no-one has been prosecuted in Scotland, despite medics treating hundreds of victims in Scotland in the last two years.

Read the SPICe briefing on the bill., external

MSPs are debating proposed new laws which aim to increase protection for those at risk of female genital mutilation.

Holyrood's Equalities and Human Rights Committee has already backed its general principles, external.

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Lib Dem MSP Mike Rumbles says the cabinet secretary blames Ferguson's management for the doubling of costs and three to four year delay.

Mr Rumbles asks what due diligence was undertaken by Mr Mackay when he launched this contract with Ferguson's management in the first place.

The finance secretary points Mr Rumbles to a "whole list of documents" he has published.

He argues there was due diligence and oversight and adds he hears Murdo Fraser saying he didn't do a very good job, however he points out it was a UK government minister who gave a contract to a ferry company with no boats.

Green MSP John Finnie says the pipeline approach to ferry delivery is blocked and asks about a timeline for delivery of a further third vessel, which is "mighty overdue as well".

Mr Mackay says Islands Minister Paul Wheelhouse will pick this matter up with the member, as this will be the Islay vessel.

If we get Ferguson Marine right we will have a robust pipeline for vessel replacement long into the future, he adds.

Derek Mackay says he has visited the workers and he was applauded by them.

The finance secretary says FMEL was delivering a design and build contract and they failed, which is why the government intervened.

He asks what the Labour party would have done differently.

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This lays bare the disastrous mismanagement of this contract which has doubled in price and is four years late, says Rhoda Grant.

The Scottish government bears the responsibility for how taxpayers money is spent, she argues.

The Labour MSP asks what legal action the Scottish government is taking, given the alleged failures of the previous management.

She calls for the leasing of additional vessels in the interim period and calls on Derek Mackay to apologise to the workers and communities who she says the government has so badly let down.

Mr Mackay says it is "astounding" to hear a Tory MSP speak like this because it was the Conservatives who "destroyed" shipbuilding.

In a perfect world it would have been better if Ferguson Marine had been able to deliver the two ferries but the previous management failed, he adds.

He says he has already detailed the costs and says it is regrettable that these will now be higher.

"We have done the right thing throughout," he insists.

Tory MSP Jamie Greene says this information was "conveniently buried until after the election", even though it was due at the end of October.

The cabinet secretary is asking for praise despite putting the shipyard in trouble in the first place, the Tory MSP argues.

He asks about the role of CMAL in the demise of the yard and what offers were received for it after it went into administration.

How much money paid in loans has been written off by the Scottish government and what will the final cost of the ferries be, he asks.

The minister says Transport Scotland will work to mitigate the impact of the delay in the delivery of the two ferries, with the second ferry delayed until July 2022.

Bringing the yard into public ownership was and is the right thing to do, he argues.

Mr Mackay says: "The the failures of management, planning and process means the vessels are behind their original programme and that significant rework is required."

As a result the finance secretary expects further costs, which he details, announcing a doubling in the cost of the two CalMac ferries to the tune of an extra £94.8m, perhaps rising to £98m.

Mr Mackay highlights a paper published today, external from when Ferguson Marine was awarded the contract for two new ferries to date.

The government consistently acted in good faith on the best information available to us but unfortunately the problems could not be resolved, he states.

The full extent of the problems were not revealed until administrators went in, Mr Mackay says, and he points to "disastrous" management practices.

The contract for the new ferries is "several years behind" and it will take some time to get it back on track, he adds.