IT may have been a story of financial doom and gloom for many organisations - but last year proved a boom time for one that well and truly bucked the trend.

The North Yorkshire Moors Railway proved itself to be virtually recession-proof and notched up its best year ever.

A total of 350,000 people enjoyed a day out on the heritage railway - easily beating the previous record of 323,000 set in 2007.

The figure also represented an 11 per cent rise on 2008 and passenger fare income also hit the £3m mark for the first time.

And overall turnover was also significantly up, increasing by seven per cent from £4.75m to £5.08m.

Jubilant general manager Philip Benham said: "We’re obviously very pleased at these record trading results at the end of a year that started with great uncertainty over how the recession might affect us."

Factors that played a part included the "staycation" phenomenon, with people holidaying at home because of the low value of sterling against other currencies, particularly the euro.

The growing attraction of Whitby as a destination was also important, with more visitors appreciating the chance to combine the scenery of the moors, with a trip to the seaside.

The railway also worked to improve its marketing at a time when a new campaign was launched to promote Yorkshire to both a national and international audience.

However the railway is now facing a tough year ahead with fund-raising still continuing for the costly replacement of a bridge between Goathland and Grosmont ready for the start of our main season at the end of March.

"This remains one of the most complex and expensive projects NYMR has ever undertaken with extra costs arising recently by having to recover from time inevitably lost by the worst winter weather for 30 years," said Mr Benham.

He added: "Running a heritage railway such as ours is becoming increasingly expensive as infrastructure, not to mention our historic locomotives and rolling stock, get ever older and more costly to maintain."

The railway has also seen some of its running costs rise sharply, particularly coal - which has almost doubled in price over the last two years - and diesel.

Mr Benham added: "There is still much uncertainty about trading prospects for 2010.

"At best the economy is barely out of recession, and with job losses threatened virtually on our doorstep in Teesside and elsewhere in the North-East, we have to be prudent and must ensure we manage the business with great care."