The historic shipyard Harland and Wolff announced that Scilly Ferries, including the Atlantic Wolff fast ferry, has ceased operations.

“We regret to announce that Scilly Ferries, including the Atlantic Wolff fast ferry, has ceased operations because of the need for the group to refocus on core business functions,” says the company.

As the new board assesses all aspects of the group’s activity, the shipyard says the “ferry operation was identified as being overly ambitious given the current circumstances.”

“Therefore, we have made the difficult decision to withdraw support for this operation, believing it to be in the best interest of the group,” reads Harland and Wolff statement.

The chairman of the Council of the Isles of Scilly, councillor Robert Francis, says he is “hugely disappointed that Harland and Wolff has been unable to bring its new fast passenger ferry service into operation.”

He said the company has worked over a number of years, initially with the current operator and more recently the community and businesses on the islands, to gain a good understanding of the operational challenges of the route and how people would like to see the service improved.

Mr Fracis added: “As a Council we are continuing to work flat out and engage the new Government in helping us secure affordable sea links both to the mainland and between the five islands in order that our community can have a sustainable future.”

From his side Russell Downs, Harland and Wolff’s interim executive chair, noted: “We understand that this will be difficult news for those affected immediately and for the community it was intended to support.

“It is important to note that this is an isolated and unique situation within the group which continues to deliver its business as usual, serving its ship repair fabrication and ship building customers.

“All customers with existing reservations on the Atlantic Wolff will be contacted directly. All staff affected have been advised.”

As it is reported, the vessel will be returned to its manufacturer, Damen, in the Netherlands.

Mr Russell Downs added that Harland and Wolff marine services, which provides carriage of freight between the mainland and the Isles of Scilly, as well as workboats for projects across the UK and Europe, will continue its operations unaffected.