BUS operators are warning that fares could rise after a council imposes a 20p exit fee at Bishop Auckland bus station next month.

The departure charge would be imposed on every bus leaving the station and could raise £20,000 a year to help Wear Valley District Council meet maintenance costs.

But it has been condemned by the North-East's two biggest bus companies, which say they doubt they will get a better service in return.

The charge was one of a range of proposals approved by councillors at their budget setting meeting last month.

Officers set the 20p rate after consulting Derwentside District Council, which imposes a charge at Stanley and Consett. But there are fears that it could lead to higher fares which could, in turn, deter people from using the buses.

Martin Harris, commercial director of Go North East, said the fee could cost his company up to £15,000 a year.

He said: "Departure charges will add to the cost of providing public transport. It doesn't appear to be suggested that there will by any improvement to the service at Bishop Auckland bus station, despite charges being introduced at a time when we are trying to encourage more people to use public transport. All our costs are met by the customer and this is an added cost."

Iain McInroy, operations director for Arriva North-East, said: "We are surprised and concerned that we are being asked to pay additional costs for no apparent benefit and with no explanation.

"We are trying to arrange a meeting with councillors to discuss further their plans for departure charges at Bishop Auckland bus station."

A Wear Valley District Council spokesman said that officers would be meeting bus company representatives about the charge, which will come into effect next Thursday.

Durham County Council leader Councillor Ken Manton said he was concerned about the proposals.

He said: "We are spending thousands of pounds subsidising rural transport on the one hand, and then along comes the district council taking some of it away on the other. It is unsupportive, to say the least."