CalMac CEO Proposes Ferry Network Merger as Scotland Weighs Major Reforms

Duncan Mackison, chief executive of Scotland's largest ferry operator CalMac, has raised the prospect of merging with CMAL, the Scottish Government-owned body that owns most of Scotland's west coast ferries, ports and harbours. Testifying before MPs, Mackison stated that the historic barriers to keeping the two organisations separate have largely disappeared, saying "You could bring those two organisations together structurally." He noted that both organisations are expected to transition into the same non-departmental public body framework by April 2027, removing a previous structural impediment to integration.

The proposal comes amid mounting pressure to reform Scotland's troubled ferry system, which has endured years of significant disruption, vessel breakdowns, delayed new ship deliveries, and escalating costs. The current structure, established in the mid-2000s, separated ferry ownership from operations to comply with European procurement rules and allow competitive tendering of services. However, circumstances have shifted considerably. Last year, the Scottish Government directly awarded the Clyde and Hebrides Ferry Services contract to state-owned CalMac rather than holding a competitive tender, effectively bringing it closer to full public sector status through a Teckal-style arrangement.

CalMac's routes, including services to Arran and Cumbrae, have faced severe disruption with up to 10 ageing main vessels out of service for overhauls and repairs. The delivery of two new dual-fuel vessels for the Arran service, ordered from Ferguson Marine in 2015 under a £97 million contract, has been delayed for years with escalating costs. Only the MV Glen Sannox has entered service to date, while the MV Glen Rosa is expected to begin operations by the end of 2026. Both vessels are currently operating from Troon due to the poor condition of Ardrossan Harbour, which CMAL took over from Peel Ports earlier in 2026, with major redevelopment planned to begin in 2027.

Government ministers have previously indicated they see "merit" in scrapping CMAL and merging it into a new integrated national body as part of a broader transformation of how Scotland's lifeline ferry services are managed. The Scottish Government has been actively considering creating a special integrated ferries body following recommendations from a community consultation on the ferry network's future. The Herald also reported that Transport Scotland, the troubled agency overseeing ferry policy, funding and procurement, is facing potential elimination under SNP plans for one of the largest overhauls in how ferries, roads and railways are administered.

Mackison emphasised that both CalMac and CMAL are converging toward similar public-sector status. He explained: "We are now transitioning from being a private limited company wholly owned by Scottish ministers. CMAL will also become a non-departmental public body over the same period, so we should both be in that category by April 1, 2027." Some island campaigners have argued that the current multi-body management structure has become unnecessarily complicated and lacks clear accountability, supporting calls for fundamental reform.