TYCOON Jim McColl has failed to convince the Scottish Government to take a stake in the last commercial shipyard on the Clyde.
The near-billionaire was understood to be ready to take a multi-million-pound “hit” on his investment at Ferguson Marine in Port Glasgow .
And this week he convinced Labour and SNP local to back his scheme in the hope of securing 350 jobs after their current contracts to make ferries ran in to cost over-runs and contractual disputes.
READ MORE: Ministers consider nationalising shipyard owned by billionaire adviser to Nicola Sturgeon
The Herald understands Mr McColl and his Clyde Blowers Capital or CBC felt they had legal advice that assuaged concerns by civil servants over an equity partnership.
However, a Scottish Government spokesman said: “We share the determination to ensure a strong, long term future for Fergusons.
“This proposal has formed part of the discussions with CBC over a number of weeks, however we have been clear to CBC that their proposal contained a number of serious risks to the public purse, including risks in propriety, regularity and value for money, and that we are unable to take this forward for those reasons.
“We remain open to any workable proposals and to any commercial investment CBC wish to make.
“Our priority is to find a deliverable solution that can provide a future for the yard, minimise uncertainty to the workforce and prevent further delays to the delivery of the vessels and we continue to work with all partners to do that.”
Earlier Stephen McCabe, Leader of Inverclyde Council, and Chris McEleny, Leader of the Opposition, backed Mr McColl’s proposal if it can save the 350 jobs at the yard.
Speaking after talks with Mr McColl and Ferguson Marine Chief Executive Gerry Marshall, they said: “We were presented with a possible model for the yard’s future which, we believe, could be a way forward in terms of delivering the best outcomes for Inverclyde and Scotland.
READ MORE: Ferguson Marine shipyard predicts £44m loss on CalMac ferries
“There is still a lot of work to be done to turn the concept into a workable proposal.”
Ferguson Marine has been locked in dispute with the Government’s ferry quango CMAL over a contract whose £97m cost has doubled since it was awarded.
A spokesman for Ferguson Marine Engineering Ltd said: “We continue to engage with both the Scottish Government and CMAL, and remain fully committed to ensuring the construction of the CMAL vessels, while guaranteeing the ability of the business to continue with its diversification and growth strategy and to maintain and exploit its leading position in the development of hydrogen propulsion technology.”
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