On 10th June 2025 Shetland Islands Council has awarded the contract to build the vessel that will become the new ferry for Fair Isle.
Parkol Marine Engineering has been awarded the £5.6 million contract to provide a new vessel for Fair Isle, following a recent open tender exercise. 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 vessel will be roll-on roll-off (‘Ro-Ro’) capable, so that it can use the Council’s existing ferry linkspans, and be built with a strengthened hull for regular linkspan, quay and slipway operations.
In addition to this vessel-build contract, 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 £45.4M, with Shetland Islands Council providing £18.6M of funding and the UK Government providing a grant of £26.8M through the Levelling Up Fund.