WYG sells its rail consultancy to Amey

Leeds-based WYG sold the loss-making business for a nominal sum. The disposal follows a strategic review, and is expected to slightly dent WYG's revenues but improve its profitability.

Almost 100 staff at offices in York, Croydon, Swindon, Birmingham and Scotland transferred to Amey under the deal.

"Amey has identified a synergy between its business aspirations and our rail profile and capabilities," said chief executive Paul Hamer.

"Both Amey and WYG believe the opportunity to integrate our rail team into the wider Amey business is best for all parties including our respective clients."

Finance director David Wilton said the rail consultancy would have required significant investment to become a market leader, and "did not tick the (right) boxes". He added WYG has no plans to sell any other businesses.

WYG will continue to offer engineering services to the rail sector, working on projects such mechanical, electrical and geo-technical studies.

The rail consultancy team ranged from designers to senior managers and Amey also bought a portfolio of contracts from WYG.

The deal grows Amey's rail consultancy to almost 1,000 people. WYG said there were no job losses under the deal.