THERE was new hope that a potentially crippling bus strike could be averted in York after union bosses and management held "productive" talks.

Talks between First and the Transport & General Workers' Union (TGWU) will now resume on Monday with both sides hopeful the result will be a suitable offer to take to drivers.

Steve Clark, TGWU negotiator in York, said a lengthy meeting yesterday had concluded with First "looking at a number of possibilities regarding making a new offer".

Peter Edwards, First commercial manager, said the firm was hopeful it could come up with a new proposal that would be recommended to the union's members.

Time is ticking down towards Thursday's planned walk-out, with drivers holding firm over their £8-an- hour basic wage claim.

The strike, which would see only Park&Ride and contracted services running, is the first of 17 dates set down by the union. But the clear-the-air talks held by both sides have opened the prospect of a last-minute solution to remove the prospect of transport chaos in the city.

Mr Clark said: "We are moving towards a new offer. First is looking at a number of possibilities and we are hopeful that we can take something back to the membership with a recommendation to accept."

Mr Edwards said: "We are going to go away and explore different options before Monday afternoon's meeting. Hopefully we can come up with a proposal."

Meanwhile, Coun Tracey Simpson-Laing, Labour's spokeswoman for planning and transport, said a strike would "cause chaos" throughout the city.

Updated: 09:32 Saturday, August 16, 2003