THE Scottish Government is being urged to tear up contracts between the Caledonian Sleeper and a Spanish train company linked to illegal Israeli settlements.
Construcciones y Auxiliar de Ferrocarriles (CAF) is listed three times as a supplier to the sleeper service, which is owned by the Scottish Government.
The contracts cover “new train spares”, “data services” and a “manufacturing and supply agreement”, according to the firm’s own list of present contracts.
The disclosure has sparked anger from rail unions, who say no Scottish taxpayer money should go to a company on the UN database of businesses allegedly complicit in the occupation of Palestine.
According to that list, CAF is involved in the supply of "associated infrastructure" to illegal settlements and the provision of transport to support "the maintenance and existence of settlements" – notably the expansion of the Jerusalem Light Rail system.
It comes as Transport Secretary Stephen Flynn has been urged to block the Spanish firm from winning a contract to build new trains for ScotRail’s suburban fleet.
Kevin Lindsay, Scotland organiser at the train drivers’ union Aslef, said the Caledonian Sleeper contracts with CAF were signed years ago and pre-date recent events.
The £150 million fleet of 75 Mk 5 coaches for the Caledonian Sleeper service were ordered from CAF in 2015 and entered into service in 2019.
But the union boss said: “Going forward, this company and others like it should not receive another pound note from the Scottish public purse.”
For example, there appears to be a new procurement process launched for similar spares and support services estimated at £60m on Public Contracts Scotland.
Lindsay added: “The Scottish Government should enact its own policy on BDS and remove CAF from the current shortlist for the new fleet of suburban trains and where possible, remove them from any existing contracts they have signed.”
Dave Moxham, the deputy general secretary of the Scottish Trades Union Congress, suggested that CAF should be stripped of the contract.
“Not one thin penny of taxpayer money should be propping up a company like CAF who has contributed towards the expansion of illegal settlements in the West Bank,” he said.
“It’s simple: if companies, such as CAF, are engaged in these practices, they should be banned from receiving new public contracts. If these agreements already exist, CAF should be stripped of the contract.”
Moxham added: “The Scottish Government has a real opportunity to stand by the Scottish Parliament’s boycott, divestment and sanctions policy. The Cabinet Secretary for Transport must show leadership and purpose, sending a clear message that Scotland will not fund nor participate by proxy in the expansion of illegal settlements, genocide or war crimes.
"Anything less than this would be a grievous misstep and a fundamental backtrack on the solidarity the Scottish Government pledged to the people of Palestine.”
Scottish Greens co-leader Gillian Mackay, meanwhile, said: “It is regrettable that there is a maintenance contract ongoing which means that public money is going to a company named by the UN for profiteering from the repression and abuse of Palestinians.
“ASLEF and the wider trade union movement were right to oppose the bid from CAF to build new ScotRail trains, and this latest revelation shows that all rail contracts should be looked at to ensure that the BDS policy is being implemented.”
She added: “The Scottish Government needs to be clear in how it will stop breaches of the boycott policy that the Scottish Parliament voted for.
“Scotland should not be backing companies profiting from apartheid, human rights abuses or genocide.”
A Scottish Government spokesperson said: “Scotland has proudly recognised the State of Palestine and the Scottish Government’s position is clear that Israel must be held to account for the genocide in Gaza.
“Our guidance stipulates that companies who are exploiting assets in illegal settlements can be excluded from tender exercises for grave professional misconduct. In law, that decision rests with the public body awarding the contract, based on the evidence available to it. The Scottish Government is clear that all public bodies should take any such evidence into account when deciding where to award public contracts.”
A Caledonian Sleeper spokesperson said: “The agreements referenced relate to our existing fleet and were entered into before Caledonian Sleeper came into public ownership in 2023.
“We are aware of the concerns raised and, as a publicly owned operator, we follow all relevant public procurement legislation and Scottish Government guidance when considering supplier arrangements and future contracts.”
CAF has also been approached for comment.