Serco selected as preferred bidder to provide Northern Isles ferry services

4th May 2012

Serco Group plc (Serco), the international service company, announces today that it has been selected by Transport Scotland as preferred bidder for a new contract to provide ferry services to the Northern Isles. Due to start in summer 2012, the contract will deliver high quality services for passengers and freight users.

Serco will operate ferries for freight and passengers between the Scottish mainland and the Orkney Islands and Shetland Islands. Staff employed by the current operator NorthLink are expected to transfer to the new service under TUPE regulations. Serco will also work closely with local businesses and maximise the use of local suppliers.

Services will be extensively modernised, with a more innovative approach to marketing and improvements in customer care at every stage of the journey - from ticket purchase through to arrival and disembarkation. On board, passengers will enjoy improved catering, seating and hospitality facilities.

Serco will begin the transition in the next few weeks to allow a smooth and seamless start to the new contract in July. Throughout the process, we will engage with customers, local authorities, other transport operators, local politicians and business and community groups.

Jeremy Stafford, Chief Executive of Serco UK & Europe, said: "We are delighted to have been chosen by Transport Scotland for this crucial lifeline ferry service. By drawing on our proven transport and marine expertise, I am confident that we can give passengers and customers a better service and deliver really good value for the Scottish Government. We are very proud of our long record of public service in Scotland, and this contract will be a distinguished addition to that.”

Serco has a strong and growing presence in Scotland, working on behalf of the Scottish Government, local authorities and the UK Government. Our contracts include Scatsta Airport, the ACCESS joint venture with Glasgow City Council providing IT and property services, management of a fleet of support vessels for the Royal Navy at Faslane, CCTV and roadside emergency phones for Transport Scotland, the operation of HMP Kilmarnock and offender tagging for the Scottish Prison Service, and facilities management for NHS Scotland at the Forth Valley Royal Hospital in Stirlingshire and Wishaw General Hospital in North Lanarkshire. Serco also has customer contact and service centres in Fort William, Brora and Glasgow.

Serco operates more ships under the UK flag than any other company, including extensive operations in the international marine market through Marine Services Support for the Royal Navy, Defence Marine Services in Australia and the Woolwich Ferry. Our wider transport experience includes the Northern Rail franchise, Docklands Light Railway, Merseyrail, Dubai Metro, Great Southern Railway, and Transport for London's Barclays Cycle Hire Scheme.

Further details will be announced after formal contract award. During the transition period some information will be made available on http://www.sercoferries.co.uk/