Dutch rail operator NS has finalised the sale of its UK subsidiary Albellio in a management-led buyout, ending its 20-year presence in the UK.

The sale to Transport UK Group was agreed last August, but was waiting for approval from the regulator. NS expects to raise between €15 million and €25 million from the sale, depending on Abellio UK’s performance in its final years.

Albellio currently runs four train franchises and around 60 bus routes in England. It lost the ScotRail franchise in Scotland last April when the Scottish government opted to terminate its contract rather than increase subsidies after the company’s performance was criticised by regulators.

NS said it had made profits of between €100m and €180m in its 20 years in the UK, but in recent years its operations had been made ‘difficult’ by a ‘relatively unstable political climate’ and ‘unfavourable economic conditions’.

Around 16,000 staff will transfer to the new company, which will be headed by Abellio UK’s managing director Dominic Booth.

Mr Booth said he had been a ‘railwayman all my life’, adding: ‘we are thrilled to return key public transport services back into UK ownership.’