The towns of Otley and Ilkley both lie in Wharfedale and the early railway schemes passed the valley by.

An act of parliament had been obtained by the Lancashire & Yorkshire North Eastern Railway (incorporated as the Wharfdale [sic] Railway Company) in 1846 to build a line from Skipton through Ilkley and Otley to Arthington[1][2] but the scheme failed as the company could not raise the necessary capital and was wound up in 1852.

[3] A second proposal was made in 1856 for a company called the Wharfedale Railway to construct a line on the same route as that authorised in 1846, but the promoters of this scheme could get no support from the major companies (the MR and the NER) who operated the lines into which the Wharfedale Railway would connect.

Finally in 1860, following approaches from local representatives, the NER and the MR met and agreed to build a joint line between Otley and Ilkley.

The act therefore stated that "equal facilities and advantages as regards trains and the conveyance and accommodation of passengers on the Railway shall be afforded to or from Bradford as those to or from Leeds".

The need to provide no disadvantage to travellers to and from Bradford gave the Midland some problems as the journeys involved reversing trains at Apperley Junction.

In the early days this led to some confusing arrangement e.g. east bound freight traffic for Leeds was sent on alternate weeks via Arthington and Apperley Junction to give fair distribution of income between the MR and the NER.

North Eastern passenger services ran from Ilkley to Leeds via Otley, a slightly longer route than the Midland services which ran via Apperley Junction — 18.75 miles (30.18 km) via Otley compared to 16.5 miles (26.55 km) via Apperley Junction.

In April 1946 LNER direct services between Ilkley and Leeds had fallen to just one with a further six journeys possible by changing trains at Arthington.

[16] A major change came in 1959 when passenger services over the line were moved from steam hauled trains to Diesel multiple unit operation.

However, due to pressures from the Ilkley Railway Supporters Association (formed specially to fight the closure proposals) the Guiseley lines and the Burley—Ilkley section were reprieved.