A YORK-based rail company which plans to offer cut-price tickets across the North of England has been savaged by rival firms.

Competitors of Grand Central Railway Company have petitioned the Office of the Rail Regulator (ORR) expressing their concern at the fledgling firm's plans to have a place on the tracks.

First Group, EWS, Freightliner, GNER, Arriva Trains Northern and the government-watchdog Strategic Rail Authority, have all indicated they are opposed to Grand Central's plans.

But chiefs at Grand Central say the responses are "sour grapes" and nothing less than they would expect from rivals. They say their plans are welcomed by rail passenger groups.

Grand Central is in negotiations with the ORR about launching a high speed, cross-Pennine train service.

Formed four years ago, the company has promised substantial fare reductions for all passengers, with services from Leeds to York starting at just £2 for a return seat and from Leeds to Manchester from just £8.

A return from York to Manchester currently costs £17.90 a ticket. A decision from the ORR is expected in the spring.

The route, which would run from Newcastle to Leeds, Manchester and Preston would be operated without any Whitehall subsidy.

But Grand Central, which wants to begin operating later this year by running 12 trains a day, has angered its rivals who are concerned at the already limited capacity on the region's tracks.

In consultation documents sent to the ORR, GNER dismisses the plans as "opportunistic".

First claims it is "extremely concerned at the prospect of a contract for these services being concluded without a timetable incorporating the services being established and validated".

Ian Yeowart, managing director of Grand Central, said: "We have responded to the concerns of other operators with a 31-page document addressing all points.

"It is what we would expect to hear, but the responses that have come from passenger groups are favourable. That tells its own story."

Updated: 09:11 Thursday, February 05, 2004