Transport Minister Jenny Gilruth is being urged to step in to protect “a jewel in the crown of Angus” after a funding snub, despite warnings it could cause “significant” financial risks.
Last month Brechin Caledonian Railway asked Angus Council to bid for £18 million of levelling-up cash from the UK Government.
Those behind the popular tourist attraction, which operates a train on a four-mile stretch between Brechin and Bridge of Dun, had hoped they could use the money to extend the railway and bring more events to the 174-year-old station.
They said this could bring in £20m in tourism to the region in the next five years.
But Angus officials said it was too much of a financial risk to the local authority as it would be responsible for underwriting the project.
North East MSP Liam Kerr now wants the transport minister to find the cash for the project and “get the job done”.
Cash was there, says North East MSP
The Conservative MSP wrote to Ms Gilruth and to Margo Williamson, chief executive of Angus Council, asking them to visit the attraction.
He said “the majority” of councillors wanted to apply for levelling-up cash but they had “little concept” of how much work submitting a bid would involve.
Mr Kerr said: “There was a pot of around £150,000 which could have been spent on a professional bid writer, if the council did not have the time and resources to research it themselves.”
He added funding Caledonian Railway’s proposals could be the “single biggest boost in the history of Angus tourism”.
Jon Gill, chairman of Brechin Caledonian Railway, added: “I am frustrated because the decision was made by a group of councillors who have not been to the railway to find out if it is worth funding.
“They have not done their job as far as I am concerned and they have hidden behind financial risk.
“It is not that they are unsupportive, they just don’t have the resources, capacity and capability to do something like this.”
‘It has not been possible to reduce the risk’
Angus Council said there is “no question” of its support for the project, but said it had to reject calls to bid for levelling-up cash.
A spokeswoman said: “To be clear, it is the council that would be fully responsible for underwriting this project and that could have impacted on other areas of service delivery to communities in Angus.
“Given the information presented to us and timescales, it has not been possible to reduce that risk.”
They added the council is looking to find alternative means of funding the project and said it is working on making sure it is prepared to bid for levelling-up cash in 2023.
The Scottish Government was approached for comment.