Allianz Cornhill Engineering faces a claim worth over £500,000 following a fire near Carnforth Station in Lancashire.

The accident affected a plain rail tamping machine, a 20-year-old unit that has a present value of £900,000.

The machine suffered gearbox failure when it was being towed and caught fire.

Loss adjuster Davies is involved in the claim and repairs are expected to cost around £600,000, Allianz Cornhill said.

Carnforth station was revitalised a few years ago, much to the joy of rail fans.

It was the setting for the 1946 film Brief Encounter, and has shops and a re-creation of the film set at the station.

The tea-room where stars Celia Johnson and Trevor Howard began their journey of forbidden love is now a visitor centre.