Islands Connectivity Plan

Scope and purpose

Islands Connectivity Plan (ICP) sets out how ferry services, supported by other transport modes, will be delivered, and strengthened, working towards a long-term vision, and supported by clear priorities and defined outcomes for people and places.

The ICP structure is set out in Figure 1 and is informed by existing Scottish Government and Transport Scotland policies, namely the:

SG Purpose and Outcomes (National Planning Framework 4, Climate Change Plan Update and the National Strategy for Economic Transformation)
National Transport Strategy 2 (NTS2)
National Islands Plan (NIP)
Second Strategic Transport Projects Review (STPR2).
Aviation Statement

Figure 1 – the Islands Connectivity Plan structure.

This Strategic Approach paper is the core of the Plan and proposes our overall Strategic Approach to island transport connectivity including ferries, aviation, fixed links and, especially, addressing the strategic challenges facing Clyde and Hebrides Ferry Services (CHFS) and Northern Isles Ferry Services (NIFS) services. This Strategic Approach can be applied to all domestic ferry services, however, it respects the autonomy of local authorities to develop their own standards and their accountability to local electorates for the design and delivery of ferry services for which they are responsible.

A number of delivery plans sit under this Strategic Approach: The Vessels and Ports Plan, the Community Needs Assessments and the Monitoring & Evaluation Plan.

Future island transport connectivity

The Scotland’s National Islands Plan (NIP), published in 2019, provides a framework for actions aimed to meaningfully improve outcomes for island communities. The Plan sets out 13 strategic objectives to address population decline; encourage sustainable economic development; and improve outcomes in areas such as transport, housing, health, education, environment, climate change and energy.

The Scottish Islands Survey (2023) highlighted that satisfaction with links to the Scottish mainland (ferries and flights) has decreased since 2020, however use and perceptions of transport vary greatly between island areas. One in five respondents to the survey find flights (to and from the mainland as well as inter-island) to be reliable and fewer find flights good value for residents. Satisfaction with ferries is slightly higher but still low: two in five respondents report that ferries are reliable and that they are good value for residents. Respondents report finding it difficult to access essential services using public transport and this has worsened since 2020.

Following a review at the end of last year, Scottish Ministers have announced that a new National Islands Plan will be published in 2025.

At its simplest, island transport connectivity should enable sustainable, inclusive, safe and accessible movement of people, goods and services to support sustainable communities and populations. The Islands Connectivity Plan seeks to address existing challenges, especially the reliability and resilience of ferry services, and will look to identify future island transport connectivity needs and opportunities while delivering value for money to residents and taxpayers.

Transport Scotland is working with the Scottish Government’s Islands Team to ensure this Islands Connectivity Plan, and the emerging National Islands Plan work in tandem to address the challenges and ambitions of island communities.

The level of future island transport demand and the shape of the transport network will depend on several factors including impacts of future development planning and availability of goods and services on islands. The Scottish Government’s 4th National Planning Framework promotes local living and aims to encourage, promote and facilitate access to local services and create connected communities which prioritise environmental, social and economic sustainability. Guidance published to support the implementation of local living policy does recognise that flexibility is required in rural and island areas where distances are often greater and population densities lower.

The Scottish Government remains committed to, whenever possible, reducing the need for island communities to travel long distances to access goods and services, including through better joined up health and transport planning. The future opportunities created by upgraded digital connectivity will mean that some specialist services, for example in healthcare, will be delivered remotely. The same is likely to apply to work, education and social activities. Also, better connected island groups could see a successful and more resilient island generating less need to travel long distances. When people do need to travel or require goods and services from the mainland, they will be able to count on reliable and integrated transport services. The Islands Connectivity Plan and National Islands Plan will work together to deliver this.

Future island population growth may also increase demand for the transport of goods and services to the islands. There could be opportunities for more freight ferries (or freight-only services) and passenger only ferries alongside vehicle ferries, providing alternative services which better reflect the transport needs of some people and businesses.

We can envisage a future of increasing freight demand reflecting the growth of high-quality food, drink and other exports off and on the islands. Growing islands’ economies or particular sectors on islands will require adapting to changing transportation needs. Developers and planning authorities are expected to consider the impact on existing ferry services and wider transport system as part of the development planning and any additional transportation costs required should be factored in by the developers.

This Islands Connectivity Plan will aim to identify future islands transport connectivity needs including potential for better connectivity between the islands. The Plan will also recognise how people travel will change. Planning for the future of island transport connectivity should reflect those changes as well as be consistent with the Vision set out in the National Transport Strategy, which is: to have a sustainable, inclusive, safe and accessible transport system, helping deliver a healthier, fairer and more prosperous Scotland for communities, businesses and visitors.

In particular, the implementation of this ICP will aim to improve opportunities for people to travel to and from islands without their own vehicle and in line with Government’s commitment to reduce car use by 20%. This is an overall national ambition and there is not a requirement for all individuals to reduce their car use at the same rate or in the same way. Our approach aims to enable everyone in Scotland to consider the role they can play, and we are already seeing innovative solutions from across Scotland’s rural and island communities.

Priority 1: Reliable and Resilient

Reliable and resilient ferry services that meet the needs of communities and businesses and support the transition to a well-being economy which is fair, green and growing. Our ferry services:

Will be reliable and resilient: to provide certainty on how long a journey will take, and that it will be a simple and comfortable experience. The confidence we will have in our journey will enable us to plan our lives, access medical services, get to work on time, access education, enjoy leisure and recreational opportunities, make sustainable travel choices, deliver goods efficiently and keep businesses running smoothly.

This outcome is supported by the following themes discussed later in this paper: Reliability and resilience; Timetables, unplanned and essential services; Integration and connectivity of services; Accessibility, Understanding the connectivity needs; Vessels and ports, Capacity and demand, Local authority services.

Will get people and goods where they need to get to: ferry networks and services will be integrated effectively with other transport modes, supporting sustainable travel choices, economic development and adapting to changing requirements of island communities, businesses and visitors while supporting opportunities for developing and new industries.

This outcome is supported by the following themes discussed later in this paper: Understanding the connectivity needs; Vessels and ports; Community voice and transparency; Integration and connectivity of services; Freight; Local authority services; Capacity and demand; Timetables, unplanned and essential services; Fares.

Will be transparent: we will feel included and listened to and we will understand the reasons for decisions being made that affect our daily lives.

This outcome is supported by the followin3g themes discussed later in this paper: Community voice and transparency, Understanding the connectivity needs.

Scotland’s National Strategy for Economic Transformation (SNSET) guides us to making our regions, communities, businesses, industries and public services more productive and innovative. International evidence shows that economies with strong productivity score highly on the indicators of a wellbeing economy.

The Islands Connectivity Plan (ICP) will deliver and sustain resilient transport connectivity that can support a high productivity economy for our islands and intends to work with local communities, island businesses and public bodies to ensure that it reflects the economic ambitions of ferry dependent communities.

Priority 2: Accessible

Ferry services that are safe, accessible and provide easy to use and affordable transport connectivity for all users. Our ferry services:

Will ensure that marginalised members of our communities have safe and fair access to ferry services they need. This will include reducing inequalities and advancing equality of opportunities, for individuals who identify as sharing protected characteristics under the Equality Act 2010, particularly through enhancement of sustainable travel options.

This outcome is supported by the following themes discussed later in this paper: Accessibility; Timetables, unplanned and essential services; Local authority ferries; Integration and connectivity of services; Community voice and transparency; Understanding the connectivity needs; Reliability and resilience.

Will be easy to use for all: our ferry services will recognise that people have different needs and capabilities and will work to ensure that everyone can use the services with as few barriers as possible.

This outcome is supported by the following themes discussed later in this paper: Accessibility; Understanding the connectivity needs; Fares; Integration and connectivity of services; Community voice and transparency; Reliability and resilience; Timetables, unplanned and essential services.

Will be affordable: we will consider options that affect peoples` lives in a way that is affordable and sustainable for ferry users and taxpayers.

This outcome is supported by the following themes discussed later in this paper: Understanding the connectivity needs; Integration and connectivity of services; Capacity and demand; Fares; Freight services.

In line with SNSET we aim to support Scotland’s journey towards a fairer and more equal society that is thriving across economic, social and environmental dimensions, and that delivers prosperity for island's people and places. A fair and equal society and a wealthier, greener economy are mutually reinforcing.

The ICP sets out the steps we will take to improve ferry dependent communities` access to the labour market by addressing structural barriers such as inequality and affordability when accessing ferry services and other supporting transport modes.

Priority 3: Integrated

Ferry services that enable sustainable and active travel choices which support our health and well-being and make our island and other ferry-dependent communities great places to live, work and visit. Our ferry services:

Will support people making sustainable and active travel choices which will have a significant positive effect on individual health and physical and mental wellbeing.

This outcome is supported by the following themes discussed later in this paper: Integration and connectivity of services; Understanding the connectivity needs; Reliability and resilience; Low carbon and environmental impact.

Will support integrated travel choices: better integration between our ferry’s networks and other modes of transport will be key when delivering the Strategy – in particular, active and sustainable modes - both on the mainland and those islands or rural communities to which they connect.

Will help make our island and other ferry dependent communities great places to live, work and visit, supporting healthy population balances: by promoting active travel choices we will encourage walking, cycling and public transport usage. This will deliver more social interaction, support local businesses and services and create vibrant communities.

This outcome is supported by the following themes discussed later in this paper: Understanding the connectivity needs; Reliability and resilience; Community voice and transparency; Accessibility; Timetables, unplanned and essential travel; Integration and connectivity of services; Local authority services.

Population challenges are being faced in many peninsular and island communities, and addressing those challenges is vital to ensuring these communities can realise the ambitions of SNSET.

This Plan supports the current (2019) and upcoming National Islands Plan in addressing island population challenges by tackling transport connectivity barriers faced by some people, such as parents and carers needing to develop the skills and qualifications that will enable them to compete for jobs, reducing child poverty.

The ICP, alongside the Strategic Transport Projects Review 2 (STPR2), aims to help make Scotland’s islands more accessible for residents, visitors and businesses; create better connectivity with sustainable, smart and cleaner transport options; and highlight the vital contribution that transport investment can play in enabling and sustaining economic growth for our islands.

Priority 4: Low Carbon and Environmental Impact

Ferry services that take actions to reduce the negative environmental impact of their operations and help to achieve Scotland's net-zero targets. Our ferry services:

Will allow people to make travel choices that minimise the long-term impacts on the environment and the wellbeing of future generations: by designing and implementing policies and actions that support protection of the natural and historic environment we will make a positive impact on our future generations when traveling on our ferry services.

This outcome is supported by the following themes discussed later in this paper: Environmental impact and low carbon, Integration and connectivity of services; Local authority services; Capacity and demand; Reliability and resilience.

Will adapt to the effects of climate change: our islands are already experiencing the impacts of climate change, and we will adapt our ferry services and infrastructure to remain resilient and reduce the harmful effects on future generations.

This outcome is supported by the following themes discussed later in this paper: Understanding the connectivity needs; Vessels and ports; Environmental impact and low carbon; Integration and connectivity of services.

Will help deliver our net-zero target: Scotland must transition to a net-zero economy for the benefit of our environment, our people and our future prosperity. We will support the delivery of Scottish Government’s commitment to achieving net zero greenhouse gas emissions by 2045 in a fair and just way though delivery of our ferry services and infrastructure.

This outcome is supported by the following themes discussed later in this paper: Environmental impact and low carbon, Vessels and ports.

The transition to net zero is not just an environmental imperative but an economic opportunity. Scotland already occupies a position of global leadership in a range of current and future key industries including renewable energy, the hydrogen economy, space, blue economy and creative industries, and Scotland`s islands are to play a major role going forward.

Funding and financial sustainability

The costs of providing ferry services are high and rising – this is creating an affordability challenge for both the Scottish Government and local authorities. We are in a period of sustained financial challenge, and it will be unsustainable to continue to increase funding of ferry services at the same rate as has been done in recent years. The successful implementation of this Islands Connectivity Plan can only be achieved by establishing a secure and sustainable long-term financial foundation for our island transport connectivity.

The Islands Connectivity Plan will contribute to that by providing robust and up-to-date Community Needs Assessments. These studies will enable consideration of a range of service and investment options for each community and will provide evidence to support what are expected to be difficult decisions on future spending. We are acutely conscious of the wide societal importance of transport connectivity. We will make sure these considerations are fully captured in our Value for Money analyses that will inform that decision making.

As set out in this paper, we will also be considering how different modes, such as aviation and fixed links, and different approaches, such as inter-island connectivity, freight services, passenger services and improved integration with onward and connecting travel, can help the financial sustainability of island transport connectivity. Financial sustainability will enable confident forward planning – not just by government, operators and asset-owners but by communities and island businesses.

The evaluation of RET on CHFS report estimated that the introduction of RET on the CHFS network resulted in the average fare paid per passenger and car dropping by 34% and 40% respectively. Additionally following a 20% reduction in 2018 for all passengers and car fares on the NIFS routes between Aberdeen-Kirkwall-Lerwick, islanders have also benefited from a 20% reduction in cabin fares along with the fares freeze for islander fares in place on these routes since 2020. Also, all ferry fares for CHFS and NIFS were frozen for one year in 2023.

The total annual operating cost for providing CHFS and NIFS services has increased by around 75% and 46% respectively over the last decade with the corresponding increases in farebox revenue being 18% on CHFS and 43% on NIFS. The rest of these costs are met from other revenue (e.g., from on-board retail sales) and predominately by subsidy from the Scottish Government.

Additionally, the Scottish Government has provided £220 million between 2018-19 and 2024-25, inclusive, to the four local authorities that have responsibility for ferries. The Scottish Government budget successfully maintained over £41m support for 2024-25 in the midst of a very challenging financial situation.

The annual deficit between CHFS and NIFS operational costs and income from ferry fares has increased by almost 100% over the last 10 years.

Meaning that for every £1 paid by a ferry user another £2 of public funds are required.

While it remains crucial that our ferry services are affordable for ferry dependent communities it also needs to be affordable for the Government and the Scottish taxpayer. With public spending remaining constrained, decision-makers in both national and local government have to make transparent and objective spending and investment decisions. These decisions will need to be based on agreed priorities and affordability.

As part of these difficult decisions, this Government has raised ferry fares by 10% in 2025-26, bringing fare levels back to around what they would have been before they were frozen in 2023-24. Freezing the ferry fares has supported island communities during the cost of living crisis but meant that Government effectively bore the loss of £10 million a year and while it remains important to support island communities, ongoing pressures on public budgets mean that continuing to freeze fares is not sustainable.

The approach to the prioritisation of future investment in the infrastructure to support these ferry services is also set out in the Vessels and Ports Plan.

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