John Grady

John Grady

Labour — Glasgow East

Speaking in the House of Commons on 18 March 2025

Debate

Shipyards: Economic Growth

Contribution

It is a pleasure to serve under your chairship, Ms Jardine. I congratulate my hon. Friend the Member for Glenrothes and Mid Fife (Richard Baker) on securing this important debate. He spoke very knowledgeably about the topic, and his incredibly successful work to secure the future of the Harland and Wolff yard in Methil demonstrates what a conscientious, hard-working fighter for his community he is. I am proud to call him my friend. Shipbuilding is a growth industry. Between 2019 and 2024, the economic output of the shipyard sector in the UK increased by 72%—I wish we could say that about much more of the British economy. There are almost 39,000 employee jobs in that industry in the UK, with 19% in Scotland, so it is an industry that we must get behind. It is central to Glasgow and the Clyde region. As everyone knows, Glasgow has a proud history of shipbuilding. At one point, more than 100,000 people were working in 38 yards along the Clyde; at the turn of the last century, almost one in four boats sailing in the world was built on the Clyde, so shipbuilding is in Glasgow’s blood. The number is much lower now, but like any Glasgow MP, I have constituents who depend on the shipyards on the Clyde for work, and they make a significant contribution to Glasgow’s economy. We have world-class defence shipyards. We have two shipyards on the upper Clyde and they are operated by BAE Systems. They have a long history of developing first-class ships for defending the United Kingdom, and the new Type 26 frigates at the dockyards will do the same. This creates wealth across Glasgow, including in my seat. We also have a brilliant maritime education sector in Glasgow, and much of this is in my seat, on the Clyde. City of Glasgow college, trains craft apprentices for the BAE Govan and Scotstoun shipyards, and BAE has a brilliant on-site skills academy. City of Glasgow college also trains very many merchant navy officers in the UK, and many of those involved live in my seat, including in the Gorbals, as I find regularly when I knock on doors. We need to keep warship building work in the UK. Make no mistake: this is essential for national security. We may wish for the world to be different, but we have to take it as it is. Skills in military and domestic shipyards are very important as we face this unpredictable world. Civilian shipyards could also provide great opportunities in Glasgow, such as in renewable energy. Of course I would like to see Government support for shipbuilding, but it has to be deployed wisely. Taxpayers and the wider economy expect that money to be deployed wisely. Regretfully, that has not been the case with the SNP Government, who own the Ferguson Marine shipyard in Port Glasgow, just along from my constituency. They have spent more than £500 million on two ferries, which are hundreds of millions of pounds over budget. They nationalised the yard in 2019, but despite it being state-owned, Audit Scotland in December 2024 raised very serious concerns about governance at the yard. It said: “Internal audit has not been able to provide assurance on FMPG’s risk management, control and governance arrangements” and other matters. Yesterday, we learned that Ferguson Marine had lost out to a shipyard in Gdańsk on a £175 million contract to build vessels for the Scottish Government. My hon. Friend the Member for Inverclyde and Renfrewshire West (Martin McCluskey) is entirely correct that the Scottish Government have prioritised opportunities in Poland over those in Port Glasgow. The outcome of six years of SNP control of that shipyard is hundreds of millions of pounds wasted; it is an absolute scandal. The SNP Government have failed the people of Port Glasgow—some of the most deprived communities in our family of nations—while wasting hundreds of millions of pounds of taxpayers’ money. Port Glasgow desperately needs good jobs, as does the whole of the Clyde region and Glasgow, and we should be incredibly angry at that SNP scandal. That is another SNP Government failure: they have failed Glasgow and the Clyde region on shipbuilding, education, health, transport and economic growth. After 18 years of the SNP, Scottish shipbuilding and Scotland need a new direction.

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