Ferry services 'not threatened'

The EC will investigate more than 20 ferry routes

Scotland's transport minister said he has been given assurances a European Commission inquiry will not threaten future ferry services.

Stewart Stevenson had what he called a "very constructive" meeting with EC Vice President Jacques Barrot.

Northlink and Caledonian MacBrayne ferry services are to be investigated.

The move came after complaints that subsidies to the state-owned transport companies had breached EU competition law.

The probe will look into whether state support led to the undue distortion of fair competition.

An expert warned the inquiry could result in Scotland's lifeline ferry services being "cherry picked" by private operators.

Mr Stevenson said: "Whilst this is an investigation which covers the term of previous administrations, the Scottish Government will co-operate fully with the commission towards a successful conclusion.

"I had a very constructive meeting with the commissioner today in which Mr Barrot gave an assurance that the investigation would not threaten the future of services for our remote island communities. We welcome this."

Bosses of the David MacBrayne Group, which includes Caledonian MacBrayne and NorthLink, also met with the commissioner.

Group chairman Peter Timms said: "There are a number of key issues involved and we will co-operate fully with the commission in their endeavours.

"We took the opportunity to remind the commissioner of the importance of lifeline ferries to the communities we serve and also to underline the strategic importance and additional efficiency value of the network we operate."

However, Professor Neil Kaye, of Strathclyde University, said the investigation would centre on the fact that successive administrations in Edinburgh, even pre-dating devolution, failed to draw up a case for subsidies, route-by-route - the so-called Public Service Obligations.

He said he expected Brussels to demand a break up of the more than 20 CalMac routes, which were bundled together and tendered as one service. The professor said he feared this would inevitably lead to private operators cherry picking the busier routes.

That concern was echoed by the STUC.