Shetland Island's Council Development Committee agreed to retain the budget of £2.4m towards the building of a new abattoir following ongoing studies into the feasibility of this project.

Since the initial decision by the Council was taken last year to set aside these investment funds, investigations have proved so far to conclude that the local authority is not in a position to be able to make an 100% investment towards this agricultural community infrastructure and that the industry must seek to find at least 50% funding before any match funding can be considered by the Council.


The motion placed by Development Committee, Vice Chair, Alastair Cooper said: "The agricultural community should be given until the end of March 2010 to explore private funding opportunities for this facility and to also explore whether any case studies do exist in Europe which shows more than 50% funding can be given by the local authority."

The majority of Council Members supported this motion and the Council wanted to give reassurance to the industry that placed political and financial backing towards the strategic importance of securing a multi-user abattoir facility.

The outcome of this decision has now placed the challenge with local industry to establish whether private funding options can be considered in partnership with the Council.

(GK/JM)