Buyout deal for rail services firm

A training and assessment firm for the rail industry has expanded its portfolio of services by acquiring a recruitment business.

Birmingham-based The Rail Academy has bought an 80 per cent stake in Rail Recruiter in an undisclosed deal.

The agency was previously owned by Milton Keynes outfit Business Daily Group which offers business support services such as marketing and commercial consultancy.

The Rail Academy is based in Brindleyplace and provides specialist training and assessment services for safety critical staff, primarily train drivers, in the UK rail industry.

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The acquisition will add a comprehensive suite of recruitment and more training services to its offer to clients as it bids to become a single point of contact for the needs of companies in the rail industry.

Rail academy managing director Cath Bellamy said: "With more than 30 per cent of the UK rail workforce, including train drivers, expected to retire within the next five to ten years, the industry is on the cusp of a substantial skills gap, with overstretched capability to address it.

"The Rail Academy already delivers a unique training offer supporting specialist train driver training and assessment and has been building capability, customers and experience.

"By integrating, and then developing, the Rail Recruiter platform we aim to offer a unique sourcing, shortlisting and testing service.

"This is designed specifically for rail employers and is intended to save time, money, duplication and wasted effort.

"We will aim to provide a single location where interested new entrants are able to see what is available industry-wide, encouraging those in the industry to stay in the industry following new opportunities and giving employers of all sizes a chance to attract the very best people."

The National Skills Academy for Rail reports that a third of the workforce is aged 50 and over, heading towards retirement age.

By 2030, up to 90,000 employees are likely to exit the industry due to retirement and other reasons.

David McLoughlin, chairman of Business Daily Group, added: "Rail Recruiter is evolving into a formidable brand within UK rail.