The changes, announced after CalMac won a Government tender for the route, will see staffing cut from 63 to around 20 when the revised passenger-only service takes effect from June 30 and will see taxpayer subsidies reduced by nearly half, from £3.2 million to £1.5m a year.

The tendering process came about after a European Commission investigation into Scottish ferry services concluded in December 2009 that subsidies for the route could breach regulations on state aid.

Car passengers travelling between Gourock and Dunoon will still be able to sail with Western Ferries, which operates an out-of-town service, which will now be handed an effective monopoly on vehicle traffic to the Cowal peninsula.