WEARY North-East rail passengers were last night facing more disruption with the threat of industrial action by train drivers.

The threat was made by the union Aslef after it emerged rail chiefs could veto plans by troubled Arriva Trains Northern to increase drivers' pay.

But there was some good news for travellers yesterday after bus drivers accepted a pay deal put forward by Stagecoach and agreed to call off their dispute.

Drivers in Hartlepool, Stockton and Darlington voted to accept a pay rise to £6 per hour at a ballot held yesterday.

Union officials recorded a 2-1 majority to accept the offer by Stagecoach North-East, which amounts to an increase of £18 a week.

Meanwhile, Arriva, which has already cut more than 1,000 train services across the region because of driver shortages, wants to raise basic annual salaries from £23,000 to £27,000.

But the Strategic Rail Authority (SRA) must approve the offer under the terms of the short-term franchise it agreed with Arriva for the Trans-Pennine route.

Arriva took over the route in February 2000 after it bought out MTL and it was awarded a one-year franchise, later renewed for a further two years.

The SRA, which agreed a budget with Arriva and the payment of a subsidy to cover its costs, fears it may end up footing the bill for the wage increase.

Aslef accused the authority of being "heavy handed" and ridiculous. The union has called for a system of national pay bargaining if the SRA continues to have such a veto.

Andrew Murray, Aslef's communications director, said: "We are waiting to see what the SRA does, but if it tries to block the pay deal we would ballot our Arriva members on industrial action."

He would not speculate on the nature of the action, but it is thought initially members could be asked to support a ban on overtime and rest day working.

Gavin Bostock, of the SRA, said it was expecting to make a decision on the pay increase in the next few weeks.

"We have already agreed a training schedule with Arriva for its drivers," he said. "But now it is about ensuring a balance. We have to look at issues of affordability as well as ensuring there are sufficient drivers to achieve the appropriate levels of performance."

Other train operating companies have been critical of Arriva's plans to increase pay, claiming it is a "quick fix" and does not address the long term issue of driver shortages.

First Group, which has already accused Arriva of poaching drivers from its First North Western franchise, has expressed serious concerns to the SRA.

Spokesman Robin Etherington said money should be spent on driver training schools instead.

Arriva Trains Northern said it would not comment on its pay plans