A BUS operator in Darlington has informed passengers that it might have to withdraw its services by Christmas.

Paul Thompson, owner of Leven Valley Coaches, says he is owed a five-figure sum by rival companies in the town.

Leven Valley accept other companies' bus passes, which pensioners get by trading in their concessionary bus tokens.

In return, they are supposed to get a share of the money received for the tickets in a formula worked out by Arriva.

Because Leven Valley's services depend heavily on pensioners, Mr Thompson says it will greatly affect his business if he does not get the money soon.

In a newsletter to passengers distributed on buses, he says: "Arriva will impact on our ability to stay in Darlington because it is now over six months since you bought your passes with your tokens.

"We are now owed a large amount of money that is promised, but never comes. This state of affairs cannot continue."

The newsletter says: "Realistically, Leven Valley cannot compete with the giants if they have decided our presence does not enhance Darlington. There is little we can do in such circumstances, except withdraw the 32 and 33 (services)".

A spokeswoman for Arriva said: "The review of the apportionment has been completed and Leven Valley has been advised of the figure that their share is likely to be - that is subject to one double-check. When they were advised of that figure they expressed their satisfaction. It's on the same basis as last year - they got paid in October then, and as far as we are concerned, there is not any issue."