Scotland’s largest ever salmon farm secures permission

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Overlay/context plan for proposed redevelopment and expansion of Fish Holm fish farm - Scottish Sea Farms

Source: Scottish Sea Farms

In its decision notice, Shetland Island Council said ‘the location, scale and nature of the proposed development is considered to be acceptable’

Campaigners have decried the decision to grant permission for Scotland’s largest-ever salmon farm.

Shetland Island Council gave the ‘go-ahead’ to Scottish Sea Farms’ (SSF) £8m Fish Holm redevelopment at Yell Sound on 11 February, subject to conditions, despite significant opposition.

Located to the north of the main island of Shetland, the new farm will include 12 160-metre circumference pens and will see an increased biomass allowance, up from 2,000 tonnes to 6,000 tonnes. It forms part of efforts to streamline the existing estate for SSF.

The council said that the location, scale and nature of the development was “considered to be acceptable and will have no significant adverse impact”.

It added that it was also “considered to be acceptable with regards impacts on other marine users when account is taken of socioeconomic effects”.

However, campaign group Wildfish argued the permission for the salmon farm represented an “unprecedented expansion of industrial salmon farming in an area already hosting multiple large sites”, and stressed concerns about its potential impact on wild sea trout, particularly due to sea lice.

“Sea lice from salmon farms are widely recognised by government scientists as posing a risk to wild salmon and sea trout,” said Nick Underdown, Scotland director at Wildfish. “Several nearby farms have recently recorded elevated lice levels and high mortalities.

“In that context, granting consent for an even larger site carries significant environmental risk.”

The decision was “especially concerning,” Underwood added, at a time when the Scottish Parliament’s Rural Affairs and Islands Committee has placed the sector under increased scrutiny.

The committee is holding a follow-up inquiry into the implementation of the Rural Economy and Connectivity Committee’s session 5 report, which assessed the state of the devolved nation’s salmon industry, its future development, and how fish health and environmental challenges could be addressed.

Granting approval to the Fish Holm redevelopment, Underwood continued, “appears to run counter to the precaution that Parliament hopes to see in the protection of Scotland’s marine environment”.

The Shetland Fishermen’s Association, which represents 115 locally owned vessels and around 450 fishermen, was one of numerous groups to raise concerns prior to the authority granting permission.

The organisation said it would displace fishers, increase spatial conflict and introduce significant environmental and nursery-ground risks, in comments sent to the authority prior to the granting of permission.

It added that the redevelopment would also “set a precedent for large-scale aquaculture expansion at the direct expense of small-scale local fishing livelihoods and community sustainability”.

A boost to the Scottish economy

The decision comes as Scottish salmon exports have boomed, reaching £828m in 2025, with Asian markets and the US driving demand.

Defending the application, SSF said the expansion of the existing consented site, and the vacation of another, into one large farm “improves fish health and welfare while freeing up space for other marine users”.

SSF said it employed nearly 300 people in Shetland, including around 160 in marine roles across 20 active marine farms, making it the largest private employer in the islands. Its local salary spend is around £15m each year and it supports 124 Shetland-based suppliers with annual spending of £27.1m.

The new site is part of a wider move by the company towards “fewer, larger farms in deeper, higher-energy waters” which improved conditions for fish and reduced overall seabed impact, the business added.

“This decision relates to the expansion and consolidation of our existing farm and reflects our move towards fewer, larger sites in deeper, higher-energy waters that support fish health and welfare,” said a spokesperson. “Importantly, developments such as Fish Holm help retain and support skilled local jobs now and into the future.”