RAIL passenger watchdogs have expressed concern for train services in the North West after Railtrack was placed in the hands of receivers.

But a spokesman for train operator First North Western assured customers: "It's business as usual for us.

"Trains will be unaffected and we will concentrate on running a safe service."

Administrators took over Railtrack, responsible for the track, signalling and stations on the rail network, after the Government refused the company extra funds to bail it out from crippling debt. Brian Grey, chairman of passenger group Railfuture North West, said the move had merely added to uncertainty about the future of rail services in the region.

He said: "We have been concerned about our railways for a long time and this has created more uncertainty about the future.

"We have seen this day coming ever since privatisation, which could have been handled so much better. Railtrack only has itself to blame following the problems of accidents like Hatfield and we just have to hope that something can be done to establish a more secure future for our rail services."

At a special High Court hearing on Sunday, Justice Gavin Lightman granted an order placing Railtrack into the hands of Government-appointed administrators, who will continue to run the railways.

Railtrack needed funding of £700 million by December, rising to £1.7 billion by next March. Transport secretary Stephen Byers rejected the request and asked the High Court judge to make the order.

He said: "For Railtrack there will be no bail-out, no last-minute rescue deal paid for by the taxpayer.

"Our action will see the end of Railtrack.

"In my judgment the time had come to take back the track and put the interests of the travelling public first."

Within three to six months, the administrators will pave the way for a private company to be set up to replace Railtrack. The company will have no shareholders and any profit it will make will be ploughed back into the rail network.