A FUNDING crisis threatening a charity which operates a taxi service for elderly and disabled people is deepening.

Darlington Dial-a-Ride may close early next year because of spiraling costs and cash-flow problems.

After an appeal for donations from businesses and individuals at the start of this month, only £10 had been received, said finance director Charles Smith.

The charity is spending up to £300 a month more on petrol than budgeted because of increases in fuel costs, and insurance premiums have risen 55 per cent, taking the cost per vehicle from £660 to £1,081.

Now, despite a rise in passengers, the charity is in trouble.

Mr Smith said: "Things are looking quite desperate for us. We haven't been able to secure any funding.

He said the appeal for donations has not brought much response - just one gift of £10.

He said much of the income in a month, even a busy month like October, which saw 2,600 passengers use the service, is invoice-related and takes a long time to come through.

"I will be talking to my fellow directors as to where we go now," said Mr Smith.

He appealed to clients to speed up payments.

Anyone wishing to make a donation or fundraise for the charity can contact Dial-a-Ride at Memorial House, 9 Albert Road, Darlington, on (01325) 380070.