There are concerns over the future of Craven bus routes run by Pennine Motors.

North Yorkshire County Council confirmed that it has been informed “there is a possibility Pennine Motor Services may cease trading in the next few months”.

The firm which runs its orange and black liveried buses throughout Craven including school transport, operates services from Skipton to Settle, Malham, Embsay, Carleton, Barnoldswick, Earby, Colne, Nelson and Burnley.

The company itself has refused to make any comment on the council’s statement.

But a source close to the company told the Craven Herald that a full service is still being provided.

Other sources said the company has given staff notice of potential redundancy.

A spokesman for North Yorkshire County Council said: “Pennine operate a number of commercial services in the Skipton area and these carry some pupils who are entitled to free home to school transport.

“In the event that the company does cease trading the county council will make alternative arrangements to transport these children.

“We will also consider which, if any, of the commercial services we may wish to see continue to be provided and may seek to retain these through short term arrangements if necessary.”

The law requires that any transport company planning to stop services must notify the transport authority, such as the county council, and the traffic commissioner, within 56 days.

A spokesman from The Office of the Traffic Commissioner said: “We are not currently considering any bus registration applications under the operator licence held by Pennine Motor Services.

“Any operator that wishes to vary or cancel registered bus services must apply to the Traffic Commissioner and give 56 days’ notice before a registration can be varied or cancelled. In some circumstances, a short notice application can be made but the Traffic Commissioner has to be satisfied the application meets the relevant criteria before a service can be amended or terminated without giving the full 56 days’ notice."

A spokesman for Lancashire County Council said they had received no notice that services might cease.

The news comes almost three years after the death, aged 79, of Norman Simpson, who ran the family firm for decades. It was founded in 1925 by his father and two uncles.

The licence is now held by Maurice Simpson and Partners, trading as Pennine Motor Services.