TRANSPORT union T&G has been accused of foiling efforts to end the industrial dispute with First Manchester bus operator.

After negotiations stalled when the Union refused to accept an offer of binding arbitration, First Manchester claimed the Union was intent on protracting the dispute rather than solving it.

Operations Director Russell Gard said, "We are extremely disappointed that we are not able to provide the services our passengers need.

"First Manchester has worked extremely hard to resolve the dispute but we have failed because of the Union's changing stance on a number of issues.

"The Union rejected a variable pay offer and so we proposed an across-the-board pay rise - this was rejected.

"We have offered faster progression to the highest rates of pay and this has been rejected. We have given a commitment that all drivers will be on more than £7 an hour within five years and this has been rejected.

"We have emphasised to the Union's negotiators that we are willing to talk at any time but they have opted for ongoing industrial action.

"Our offer of arbitration remains on the table and we hope for our passengers' sake that the Union will take a more responsible approach."