The Prime Minister arrived in Shetland for a two-day visit this afternoon – making him the first UK leader to visit the isles in 34 years.
David Cameron’s arrival comes ahead of a drinks reception at the town hall in Lerwick this evening, where he will make an announcement on electricity subsidies.
The Prime Minister is expected to bring news of a deal brokered by the UK government to spread the subsidy costs of providing electricity to Shetland across the whole of Britain – and not just the north of Scotland.
It is claimed the announcement should put the subsidy on a more sustainable, long-term footing, with prices continuing to be kept at 75 per cent less than they otherwise would be.
The government claims the announcement will help keep domestic bills £1,200 lower than they would be without the subsidy.
It should also mean cutting bills for those in northern Scotland who have, until now, footed the whole subsidy cost.
The government says:
• The subsidy will be worth an average of £20,000 for schools and hospitals.
• For large operations – like fisheries – it could be worth an average of £180,000.
In coming to the isles, Mr Cameron follows in the footsteps of former Prime Ministers Ted Heath and Margaret Thatcher.
His trip includes a visit to the Bristow search and rescue team and the Sumburgh lighthouse.