ENGINEERING group Amec confirmed plans to split itself in two yesterday after a poor performance from its UK construction division depressed full-year results.

The company, which employs about 400 people in Darlington, will look to complete the sale of its French arm Spie, which was put up for sale last year, before separating its core energy and process management operations from its construction activities.

Amec's industrial division, which is based in Darlington, will become part of its engineering and technical services section, which saw profits rise by 18 per cent to £95.4m.

It said underlying profits rose seven per cent to £124.1m in 2005, but that project solutions saw its surplus dip 58 per cent to £11.2m, following weakness in UK construction services, particularly roads.

The results included a strong contribution from the engineering and technical services division as Amec benefited from increased US federal government work, including contracts in Iraq.

But, it warned activity in Iraq was now expected to decline significantly.