AIthough it cannot be claimed that the local iron industry was solely responsible for the formation of the Furness Railway, the fact that large quantities of iron ore had to be transported from the mines to the coast was an important contributory factor in the final decision to proceed with the plan. On 23 May 1844-, the Furness Railway Act was passed by Parliament, with an authorised capital of £100,000. J. & W. Tredwell were the contractors, but as labour was difficult to recruit the original estimate of £47,789 was increased to £67,000. By 1846, the line which extended from Kirkby to Rampside with a branch to Dalton had been opened with the minimum of ceremony. It was not until April 1854 that the railway reached Ulverston, little over four miles from Dalton. This seemingly long time was due to severe difficulties encountered by the contractors, Messrs. Boulton of Leeds in the construction of the tunnel at LindaI, and also because many of the townspeople of Ulverston strongly opposed the idea of the railway entering their town. As may be expected, the railway brought its share of mishaps. Referring once again to William Fisher's diary:
May 10, 1846 Henry Houghton a youth of 16 years of age unfortunately fell under one of the Wagons on furness Railway and had his legs so much crushed that he died a few days after of inflamation.
Jul. 16, 1846 Wm. Wilson a labourer for furness Railway 22 years of age who through inadvertance had placed himself betwixt two Waggons one of which [was] moving when his knee was caught betwixt them which cosed a compound fracture ending in mortification and died 7 days after.
Nov. 18, 1847 Killed on the Dalton Railway a man named Spence by 3 waggons running over him breaking both his thighs he died about 2 hours after.
Nov. 6, 1855 2 men working in Lindal Railway Tunnel when a blast exploded. Killed one and sadly injured the other so that his life was dispaired of.
Shortly after the line through Dalton was opened (1846), the company realised that they would have to provide some form of accommodation for passengers while they were waiting for trains. The original station would have been a simple wooden affair close to the site of the present one, but as passenger traffic increased, the present structure was built from locally hewn sandstone and limestone. The style is typical of many Furness stations with the steep pitched roofs, described by the Company as the Swiss Cottage style.
As built, the station had two through platforms, capable of accommodating the longest trains, and two bays, one at the east and one at the west ends of the station. These were for the use of local workmen's trains, such as were common until the 1930s, and until the motor bus took over. A commodious goods yard was provided on the south side of the line. This yard had coal and cattle wharfs, and a weighbridge. It served the needs of many local traders in the days before road transport became popular. Ornate cast iron canopies were provided, and gas for lighting was supplied by the town's works at Goose Green. For many years, the only method of crossing from one platform to another was via a wooden level crossing over the rails at the east end of the station, by the present road bridge. However, after an unpleasant accident in the 1870s, when a man paused to pick up a farthing he had dropped on the crossing, and was struck down by a train coasting down the hill from Lindal thus losing both his legs, the company extended the overbridge and constructed a pedestrian way over the lines.
Many local people will remember Abbotswood, a neo-Gothic mansion which formerly stood just outside the town of Dalton, close to Mill Brow and overlooked the Vale of Nightshade and the ruins of Furness Abbey; but they may not be aware of its association with the Furness Railway. It was about 1845 when Mr. James Ramsden was appointed manager of the engineering department. He was then about 23 years old, but despite his youth, quickly established himself as a capable and efficient man. By 1857 he had become so indispensable to the Company, that it was resolved to build a residence for him on the site described. A sum of £2,000 was to be spent and Mr. Ramsden was to be allowed to live there at a rent of 2 per cent of the outlay.
The land belonged to the EarI of Burlington who was Chairman of the Company, and who was responsible for the erection of this magnificent mansion, with its square towers, beautiful gardens four lodges, coach-house, stable, greenhouses and a small home farm. The sandstone used in its construction was brought from Hawcoat quarry. Mr. Ramsden was in occupation by about 1865. He never actually owned Abbotswood, instead he paid a yearly rent of £205, indicating that the value of the site was close to £10,000. He was knighted in 1872, and lived there until his death in 1896. His widow died the following year. After changing hands a number of times, the property was finally demolished in the 196Os.