Network Rail has proposed an improved pay offer during talks with the RMT union, following the three days of national strikes last month.

The full details have not been released, but Network Rail said the offer was worth ‘more than 5 per cent’, although it depends on the union accepting reforms to cut costs.

The RMT’s initial reaction was cool, describing the proposal as a pay cut in ‘real terms’ and saying it would mean the loss of a third of front-line maintenance staff.

Network Rail said it hoped that its offer would break the deadlock. It added: ‘While money is extremely tight because of the railway's financial troubles following the pandemic, we can afford to make this offer if our people accept change and compromise, which will fund it.’

The RMT said its Executive Committee would be considering the offer today, but claimed that the conditions of the deal would mean a reduction of 50 per cent in scheduled maintenance.

General secretary Mick Lynch warned: ‘Network Rail and the train operating companies need to understand that RMT has done deals with both London Underground and recently Merseyrail that were well in excess of what our members are being offered here.

‘Railway workers have lost thousands of pounds in earnings due to a pay freeze in recent years and they refuse to be short-changed again.

‘We will not hesitate to call further strike action and seek to coordinate with ASLEF and TSSA, if the rail industry will not seek a negotiated settlement with us.’

ASLEF announced two days ago that ballots of its driver members at eight English train operators had produced majorities in favour of walkouts, while more than 6,000 TSSA members at Network Rail have voted for strike action and action short of a strike in a dispute over pay, conditions and job security.