AN award-winning rural transport initiative which operates a daily bus service from Clitheroe to Settle is to be cut dramatically due to the lack of funding.

The Bowland Transit is operated by Lancashire County Council and was launched in April 2003 by Prince Charles.

Funding for the scheme had been secured from the county council, the Countryside Agency, enterprising Rural Communities and the Rural Bus Challenge.

A date of May 21 has been given as the last time the Bowland Transit B10 service will operate its five-times-a-day, seven-days-a-week run from Clitheroe to Settle in its present format.

After then the weekend schedule will be completely scrapped and the service reduced to one or two trips to Settle a day. It will mean links to schools, medical appointments and railway services will be lost.

A spokeswoman for Bowland Transit said it had been trying to secure funding since August .

However, it had only secured £100,000 from Lancashire County Council and the Government's Rural Bus Challenge. The subsidised service needs around £250,000 to stay on the road.

"We are looking at other funding and also looking at other ways to continue the service to those who use it, but in a different format. Basically, we are not sure what is happening at the moment.

"What is certain is that from May 21 there will be only one or two buses a day to Settle if they are lucky," the spokeswoman added.

Mandy Gleave, manager of Crowtrees Caravan Park, in Tosside, said she was dismayed at the potential loss of the B10 Clitheroe-Settle service.

"The service it provides is fantastic and many of our residents and holiday people use it to go from Tosside to Settle and Clitheroe.

"Some of our residents would not be able to make doctors' appointments or do their weekly shopping without this service," she said.

Steve Heaton, for the North West Development Agency, said funding for the scheme had not been withdrawn, but had come to an end.

"To my knowledge there has been no application from Bowland Transit for further funding for the scheme," said Mr Heaton.