February 19, 2001 16:04: THE owner of the Gravesend to Tilbury ferry claims it needs more financial support to safeguard the future of the service.

Karen Redman-Smith, manager of Whitehorse Ferries, says due to a drop in the number of passengers and an increase in marine diesel prices, the ferry company now needs higher subsidies from Thurrock Council and Kent County Council (KCC).

Despite fears at the end of last week that the ferry company needs a 50 per cent increase in subsidies for the service to continue, Whitehorse Ferries insists it only needs an increase to cover inflation.

At the moment, KCC pumps £32,000-a-year into the ferry service. And Thurrock Council has now confirmed it will continue giving the company £28,000 a year in the "short to medium term", after threatening to withdraw its grant a month ago.

The two councils, along with Gravesham Council, met managers from Whitehorse Ferries last Friday to discuss funding and repair work which needs to be done to West Street Pier.

Mrs Redman-Smith said: "The ferry company is losing five per cent of passengers every year so we desperately need more financial backing from Thurrock and KCC. But it is not true we need a 50 per cent increase in our subsidies. We just need a rise to parallel inflation."

A Thurrock Council spokesman said: "Our cabinet has confirmed the £28,000 subsidy has been approved in the short to medium term.

"Now we hear the ferry company needs more money to keep going and we need to find out how it justifies an increase in our subsidy."

A spokesman for KCC said the decision on whether the county council would increase its grant to Whitehorse Ferries will be made by the transport operations board on March 13.