A DURHAM based law firm is proud of the part it played in saving a heritage railway when it was placed into administration. 

Swinburne Maddison LLP has been instrumental in helping to secure the future of the Weardale Railway after it was placed into administration back in January.

The heritage railway which runs from Bishop Auckland to Eastgate is a major tourist attraction in the dale. It had been experiencing difficulties as early as last summer, which is when Swinburne Maddison was appointed to explore various options for its sale.

In December 2019 it looked as if its annual event, The Train to Christmas Town, which had generated ticket sales of 40,000 and is the railways biggest event of the year, might not even go ahead.

Swinburne Maddison was able to structure and secure a finance package by working with administrators, FRP Advisory. 

This innovative transaction allowed for interim funding from Co. Durham charity The Auckland Project, during the Christmas period and enabled the event to proceed. 

When US-owned British American Railway Service,  which was the controlling member of the Weardale Railway Community Interest Company, confirmed that it would enter administration, Swinburne Maddison proceeded to assist with the acquisition of the railway - its line, its rolling stock and ancillary assets - by a subsidiary company of The Auckland Project.

Corporate and commercial partner at Swinburne Maddison, Martyn Tennant, said: 

“One of our key strengths, as a law firm, is our innovative way of looking at problems and coming up with commercial solutions within a legal framework, which achieve the best results for our client. 

“In this case, we were delighted we had been able to devise a way of keeping the business running over the Christmas period, particularly when so many tickets had been sold and other local businesses were also depending on trade from the period.  

“Ultimately, the future of the Weardale Railway is now secure, with this acquisition.  The Auckland Project is investing heavily to create positive change for those visiting, working in and living in the Bishop Auckland area and we are delighted to have played our part in preserving this vital local heritage asset.”

Following the rescue deal, with all the necessary assets secured, the intention is to explore the various ways in which the railway, now called Weardale Railway Ltd, could develop in the future through consultation with the community and its stakeholders.

Dave Maddan, Chief Executive Officer of The Auckland Project, said: 

“I have the highest regard for the team in Swinburne Maddison that supported The Auckland Project during this purchase and have been impressed by their ability to work through the inevitable problems encountered on the way” 

Assisting Martyn Tennant as part of the corporate and commercial team at Swinburne Maddison was associate solicitor, Mike Ward and solicitor, Eleanor Fisher-Thompson. FRP Advisory were administrators, Clive Owen LLP, provided accountancy and tax advice with Haines Watt advising on VAT.