A CASH-strapped heritage railway could be set for a £40,000 lifeline.

The Wensleydale Railway company asked Hambleton District Council for a grant to help it run regular passenger trains into Northallerton and increase tourist and business traffic.

The line currently runs passenger services from Leeming Bar through Bedale to Redmire, but was on the verge of collapse last year after a major landslip at Akebar, near Leyburn, virtually closed it down for months.

Major repairs were carried out, but it cost the railway £100,000 and wiped out reserves which were going to be ploughed into running the new services for Northallerton.

The aim is to bring passengers into and out of Northallerton from Wensleydale and Bedale.

Hambleton has its own apprenticeship scheme and the aim would be to encourage apprentices to get involved with the railway.

The authority's Director of Leisure and Health Dave Goodwin said: "Part of the project is seen as being a longer term relationship with the railway, improving the economy, improving transport and creating jobs.

“Hopefully, it will ultimately give people access to the industrial estate at Leeming Bar as well as the passenger transport and opening up tourism into the Dales.

"We were impressed with the work the railway has been doing promoting and encouraging business.”

Part of the project is to upgrade the track between Leeming Bar and create a new temporary platform at Castle Hills, which will be known as Northallerton West.

The line has been kept open for rolling stock and freight and is only a mile from the station.

The railway estimates it will carry 55,000 passengers this year, boosted by the forthcoming visit of the Tour de France, with up to 12,500 using the Northallerton section.

A spokesman said: "The additional spend from these visitors should provide an additional £60,000 to £120,000 revenue for service and tourist businesses in the Hambleton area.

"It will enable trips into Wensleydale to be accomplished on foot or by cycle, reducing congestion and pollution.”

Hambleton Council’s Cabinet Committee meets on May 6 and is being urged to recommend to the full Council that the grant is approved.