Isle of Wight East MP Joe Robertson has said that the purchase of Red Funnel by another private equity firm is a ‘bad day for the Island’, and that ‘enough is enough’.
The cross-Solent operator has this week been purchased by Njord Partners, an international company that describes itself as being a provider of ‘flexible debt and equity solutions to companies facing complex situations’, as first reported by Island Echo yesterday afternoon (Monday).
After news broke that a local consortium’s bid to take over the ferry firm had been rejected for a private equity offer, concerns mounted over the future of the vital lifeline service.
As such, Conservative MP Joe Robertson, Labour MP Richard Quigley and Alliance Council Leader Phil Jordan wrote to Maritime Minister Keir Mather asking him to step in on a proposed sale of Red Funnel, stating that a sale to a private equity group would ‘only be bad for the Island’.
However, before any action could be taken, the ship well and truly sailed, with the acquisition of Red Funnel coming as a surprise to the elected officials on Monday afternoon.
In response to the sale, Joe Robertson MP has said:
“This is a bad day for the Island. Yet another sale to a private equity group who exist for the “uncompromising pursuit of capital preservation” for foreign investors – their words not mine.
“They have not even had the courtesy of contacting local elected representatives to hear our concerns on behalf of Islanders before structuring this deal.
Article continues below this advertisement “While cross-Solent ferry connections are treated purely as a revenue generator for investors in an unregulated framework, Island residents and visitors will continue to pay over inflated prices.
“The Government must step in. Enough is enough”.
Njord Partners says it aims to deliver a reliable, efficient service that Islanders and visitors deserve.
Joe knows perfectly well that HM Gov can’t and won’t intervene, so he’s just trouble-making.
Interesting that a dyed-in-the-wool Tory is bad-mouthing the private-equity, rabidly capitalist model.
with his obviously non-tory attitude towards the ferries and other Isle of Wight related issues,… it has always puzzled me why Joe stood for election on a Tory ticket…
perhaps he was being smart & knew the polical leanings of the demographic of IoW East & bet that campaigning on a tory ticket was the best chance of getting elected…
Many years ago I knew a man who wanted to be a Tory candidate. As there were no available seats he joined Labour and duly became an MP. With all MPs its career, family, party and then electorate. The destination is what matters, not the mode of transport.
The ‘shock horror’ they snuck this under the wire comments are rubbish. They knew the offers were made which is why the local bid was torpedoed. They also knew they had until tomorrow to finalise any deal so why the surprise? We were always going to be stuffed by any bid from overseas, who wouldn’t want a share of a guaranteed license for the most expensive bit of water in the world? There will be NO investment, no new ships and no bloody hope for us.
Time for a bridge or Tunnel Joe.
The cheapest and quickest option is to extend Ryde pier
to Pompey, stick an opening in the middle so ships can go
through.
Job done.
Persons then can walk, cycle or drive to the mainland.
Also ideal for Emergency services to attend the island etc
Sadiq Khan had a new tunnel built in the big smoke
that only took a few years to build.
The island is all talk and NO action!
Maybe when devolution comes along something will
finally be done to link the island to the mainland.
Island residents should not have to pay ridiculous prices
to travel to the mainland.
If you live in the big smoke within the congestion charge
zone, residents only pay 10% of the actual charge.
WHY DON’T ISLAND RESIDENTS ONLY HAVE TO PAY
10% OF THE FERRY PRICES!!!!
“Persons then can walk, … to the mainland”
bloody long walk,.. especially in bad weather
“Sadiq Khan had a new tunnel built in the big smoke…”
yeah, but look at the difference in population / usage. (amortised cost per person, per use, is massively lower)
“WHY DON’T ISLAND RESIDENTS ONLY HAVE TO PAY 10% OF THE FERRY PRICES”
– now that is a good idea!!!
But….then,..
who, exactly, would pay more than 100% (to pay for the discounts for Island Residents)??
Businesses already get discounted fares,..
Holidaymakers who book through some businesses also get get discounted fares.
People who bulk-buy tickets get get discounted fares…
Camper-van owners get discounted fares…
in fact, it seems that everyone, except individual holidaymakers, and resdents who can’t afford [it aint cheap] (or have no need) to bulk-buy tickets, gets discounted fares….
so, where does RF make their profit ??
Naaa.. won’t happen
I forgot to say the island line trains could also
run from Ryde to Pompey, so to be honest there
will be little need for the ferries.
So if you don’t fancy the walk, let the train take
the strain.
Much better for everyone.
Why would a devolved local auhority spend so much money for the benefit of Islanders? No one is going to put up the money for bridge unless there is something in it for them so don’t kid yourself you will cross for free or that the tolls will be vastly cheaper than the ferries. And why would anyone give Islanders a 90% discount. We are their users who have no choice but to pay. This is capitalism at work and it is not altruistic. The only way you will get cheaper fares for Islanders is if the service is nationalised and government subsidises Islanders – can you see that happening?
The reason the new private deal was speeded up was BECAUSE of the threat of gov’t intervention…..the sharks had been circling for a long time, and JR must have known this. It is Tories after all who advocate for the PFI-type private investment. Many of them have similar investment portfolios.
We’ll never get to see or hear how much was paid, but I’m willing to bet the local consortium matched it, but was still refused. Why? Because someone on the board of the parent company knows that ‘investment’ is guaranteed to keep on generating interest payments for them from the day to day running of the passenger company, whereas separating the two companies by selling off that arm to what would basically become a not-for profit necessary service company will not.
Why isn’t the Labour M.P. that we’ve been ‘saddled with’ in the West Wight
‘sticking up’ for the Island?
What can the Government do now. The dye is cast. But this deal didn’t hapen in 24 hours – people knew what was happening and kept it to themselves. Those people did not have the welfare of Islanders at heart but no doubt they did ok out of it