The UK government will provide £27 million for a new roll-on, roll-off ferry for Fair Isle, it has announced.
The project is part of £177m worth of Levelling Up funding across Scotland, with the Fair Isle ferry the largest grant provided.
News of the investment has been greeted with widespread delight, with council leader Emma Macdonald particularly effusive.
She said it was “no exaggeration” to say the funding had “saved Fair Isle as an inhabited island”.
“There would have been no other way for us to sustainably fund such a project,” she said.
“This is a truly great day for Fair Isle, and for Shetland”.
MSPs Beatrice Wishart and Jamie Halcro Johnston, and MP Alistair Carmichael, were among those to congratulate the SIC on their successful bid.
They also expressed delight that Fair Isle would soon again have a reliable replacement ferry.
The current Fair Isle ferry, the Good Shepherd IV, is almost 40-years-old and less than five years from the end of her life.