A planned shake-up of ferry services on the Irish Sea moved a step closer yesterday after operators P&O and Stena exchanged contracts on a landmark deal.
The move formalises plans set out earlier this year that could see around 200 P&O staff transfer to Stena in a major overhaul of services linking Ireland and Britain.
P&O plans to sell £50 million sterling (€70.8 million) worth of its assets - including five ferries and port facilities in Liverpool, Fleetwood and Dublin - at book price to Stena. In addition, a joint venture between the two will buy P&O's interests in Cairnryan, in south-west Scotland.
P&O said the overall deal, part of a new focus on higher-yielding routes, would not result in a significant financial gain or loss.
However, despite the exchange of contracts, the deal cannot go ahead until after a UK Competition Commission inquiry into key elements of the plans.
P&O is also proposing to close its service between Dublin and Mostyn in north Wales, as well as shoreside operations in Mostyn and offices in Fleetwood, with the loss of around 100 jobs.
The shake-up is set to spell the end of the Stranraer ferry, as Stena shifts its Scottish hub along the coast to Cairnryan.
P&O will continue to operate three ferries linking with Cairnryan and nearby Troon, while Stena will take on services between Dublin and Liverpool and Larne in Northern Ireland to Fleetwood, Lancashire.
