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TIMELINE: On tender-hooks... The ferry-tale (or nightmare) so far

TIMELINE: On tender-hooks... The ferry-tale (or nightmare) so far

Thursday 31 October 2024

TIMELINE: On tender-hooks... The ferry-tale (or nightmare) so far

Thursday 31 October 2024


Guernsey unilaterally confirmed Brittany Ferries as its preferred bidder for the lifeline sea links contract last night – sparking fears Jersey will have to make a decision "under duress". But how did we get here?

Express took a look back at the journey so far...

2022: The 'wind down' begins

Condor signed an agreement with Jersey’s Harbourmaster in 2014 which, in essence, gave the company an exclusive ramp licence to run Roll-on, Roll-off services in return for a guaranteed level of service, including types of vessels, pricing and timetables. The agreement did not prohibit other operators entering the market, but they would have to provide the same level of service as that set out in its 80 pages.

The agreement included a 'wind-down' period after seven years. Despite the name, the period does not mean a 'winding down' of services, but rather marked the start of Condor and the Channel Islands beginning the process of hammering out a new deal before.

2023: A multi-million Guernsey deal, refinancing and a cargo ship trial

The States of Guernsey jointly purchased a new ferry with Condor – and loaned the company £26m – to “prevent a potential emergency occurring”.

The nature of the "potential emergency" that prompted the deal has never been disclosed.

Later in the year, accounts published on the Companies House site revealed that Condor had to refinance a loan. An agreement was reached with NatWest that the bank could seize assets should Condor be unable to meet the schedule for repayment.

Towards the end of the year, the ferry operator faced backlash from the business community and Government after it outlined plans to increase freight prices by inflation plus 10%, resulting in a total increase of 18.76% from 1 January 2024.

Jersey and Guernsey's governments confirmed on 15 December that they had jointly commissioned berthing trials of a large cargo ship – the DFDS Finlandia Seaways – as part of what they described as a freight "resilience" test.

On the same day, amid speculation over Condor's finances, the company confirmed it was undergoing a "temporary but challenging" time but would not provide more details on the nature of its difficulties.

2024: The 'shopping' process begins

In January, the governments of Jersey and Guernsey confirmed that they were 'shopping around' for a key freight and passenger ferry provider.

In February, Condor confirmed that its then-CEO John Napton was stepping down "with immediate effect".

In March, Brittany Ferries conducted a berthing trial with the 157m-long Barfleur.

In April, Condor Ferries Limited filings with Companies House showed a £1.4m loss.

In May, it was confirmed that Condor and DFDS had officially thrown their hats in the ring for the key contract, with DFDS having visited the island in April to woo islanders and business leaders with a promise of a hybrid-electric vessel. 

That same month, another Brittany Ferries ship carried out a trial in Jersey – the 151m-long Bretagne – and it also emerged that Condor had extended a loan agreement with NatWest for the second time in seven months. 

In August, it was revealed how the future of Condor Ferries rides on whether the company wins the tender to be the Channel Islands' passenger and freight ferry operator.

In September, the Economic Development Minister reassured States Members that Jersey and Guernsey would have an "entirely equal say" on the new service. Later in the month, the Chamber of Commerce warned the Government that any delay to concluding the process will damage the visitor economy.

This month, DFDS' Seven Sisters vessel came to Jersey for a trial. This was funded by the Government, who would not reveal the overall cost.

Last week

With the decision deadline looming, concerns over a possible conflict of interest at the top levels of Government were raised after it emerged that the most senior civil servant in the Economy Department had selected DFDS in an online poll asking who they want to take over the island's key ferry contract

The Economic Development Minister confirmed last week that Richard Corrigan – who was said to have made an honest mistake while seeking to look at the poll results – had stepped aside from the process and that another senior civil servant would be appointed Senior Reporting Officer instead – but noted that this may lead to a delay of some days in the final decision.

This week

In a joint statement issued on Monday night, Condor, its parent company Brittany Ferries, Jersey's Chamber of Commerce and the Jersey Hospitality Association denounced what they termed an "unacceptable" delay and said that the uncertainty had already been "detrimental to the islands' visitor economies".

Bidders were told that the contract would be awarded by the "end of September at the latest", with the tender process now "nearly a month behind schedule", the statement said.

The following morning, Guernsey's Chamber of Commerce added that its members were also concerned.

In response, Jersey's Economic Development Minister promised an announcement on the successful bidder for the Channel Islands' key ferry contract "soon" – but did not give an exact date.

On Tuesday, Deputy Morel said: “We are making an extremely important and complex commercial decision, and we need to get it right.

“Detailed consideration is being given to the submitted bids and we will be making an announcement very soon.”

But just a day later, Guernsey – which jointly purchased a new ferry with Condor and loaned the company £26m to prevent an undisclosed "potential emergency" occurring last year – said last night that it had taken the decision to "push ahead alone" with Condor's new owner to "provide certainty for island residents and businesses".

Jersey and Guernsey have “not reached a shared view” on the future of the islands’ key ferry contract, the statement said, but Guernsey's Committee for Economic Development said they were seeking a deal which "leaves the door open for Jersey".

Jersey's Government, which only saw the announcement at the same time as the public and media, responded less than an hour later, saying it had "further questions" for the two frontrunners and would be seeking urgent meetings today.

Express understands that some of the clarifications being sought relate to financial stability of the providers.

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