Rolls-Royce has sold the bulk of its Vickers Turbine Components (VTC) business for £74million.

Under the deal Royal Bank Private Equity (RBPE) will take over a number of UK and US firms employing around 1,220 people which make up the majority of VTC.

Two companies, Ross Catherall Ceramics, near Derby, and Newcastle-upon-Tyne-based Vickers Pressings will remain with Rolls-Royce.

The businesses being sold specialise in precision-engineered products for the automotive, aerospace and industrial gas turbine markets and were bought by Rolls-Royce in November 1999 as part of its acquisition of Vickers plc.