Michael Healy-Rae (Kerry South, Independent)
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Question 599: To ask the Minister for Transport, Tourism and Sport his plans to ensure that we retain the Cork to Swansea, Wales, ferry service. [33349/11]

Leo Varadkar (Dublin West, Fine Gael)
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I share the disappointment that the Cork to Swansea ferry service has run into difficulties.

The market for ferry services in and out of Ireland is well served and is highly competitive. Ferry services must operate on a commercial basis and to do so they must have a sufficient customer base. It is a very dynamic market as demonstrated by the frequent changes in routes and operators. Market conditions have been very challenging in recent years, particularly with increases in fuel prices.

I understand that in 2010 the ferry service recorded an operating loss of €2.5 million over a ten month period, despite the increase in passenger numbers as a result of the volcanic ash crisis. Fastnet Line's announcement on 1 November 2011 that it was suspending its winter service is just one of many changes to routes and operators over the last year. The High Court has appointed Grant Thornton as an interim examiner to the company. I understand that a restructured business plan has been presented by the company as part of the examinership process and forecasts that the ferry service will resume in April 2012.

My Department has no function in, or finance for, the provision of or subsidisation of ferry services on this or any other route. We are bound by EU state aid rules and the limitations these impose. However, a range of other supports remains available from State agencies such as Fáilte Ireland and Tourism Ireland to ferry services operators to promote tourism in Ireland, and the company may be able to avail of these.