There is economic uncertainty as rail service to Churchill is off the tracks indefinitely.

The disruption comes ahead of the busy summer tourist season, causing travellers to cancel trips.

Omnitrax Inc., the company that operates the rail line, said Friday a portion of the track is severely damaged northeast of Gillam to Churchill.

READ MORE: Flooding means rail service to Churchill, Manitoba off until winter

It means the northern community of 900 people has lost its only means of ground transportation, and service likely won't resume until the winter.

Beluga whales, polar bears and the stories of a shipwrecked vessel attract tourists to Churchill from around the world.

The Tundra Inn said one-third of its bookings were cancelled.

Sunday owner Belinda Fitzpatrick told CTV News it would be laying off five people as a result.

“We were actually really excited about the summer and having it be so busy and all these people come to Churchill, so it's sad. It's really sad,” she said.

The Manitoba Chamber of Commerce said without rail service, Churchill could miss out on millions in tourism dollars.

“This is devastating for business and residents, there's no question about that,” said Manitoba Chamber of Commerce president Chuck Davidson.

“It’s a huge tourism season coming up as well, with it being Canada’s 150th…This is really the lifeblood of what this community has really become," he said.

The chamber said it’s proposing businesses get a subsidy because goods and services could cost five times more.

The province of Manitoba said it assembled a team to ensure essential services are in place

"Senior provincial officials have met with Churchill mayor Michael Spence and are engaged with community groups and businesses in the region. The province has been advised that Calm Air will be providing freight service twice a week from Thompson to Churchill,” said a news release issued Friday afternoon.

CTV News asked the province if subsidies were being considered as part of their discussions. But due to the Point Douglas byelection, the government is restricted in speaking about future programs or funding.

VIA RAIL CUSTOMERS WITH TICKETS TO CHURCHILL

Maria Cristina Laureano had been eagerly anticipating her adventure to Churchill this summer. Laureano and her fiancé bought two tickets with VIA Rail, but with train service off the tracks, so is the trip.

"It’s really disappointing. That was really a dream of mine to go for our five year anniversary," she said Saturday.

Laureano said two plane tickets to Churchill will cost her $2,100 more than taking the train.

"It’s just not really affordable especially for the distance, and we are not going there for that long so it just didn't work out,” she said.

VIA Rail said no alternative mode of transportation will be provided, but customers wishing to modify or cancel their reservation can do so at no additional charge.

In a statement sent to CTV News Saturday, VIA Rail said Canada 150 pass holders can travel to over 400 destinations on its network.

“Many seats remain on most VIA Rail trains across our network in July. We invite Youth Pass holders, as well as other VIA Rail customers to book alternative travel. Over the past three years, some 5,500 people on average have travelled to Churchill every year. Approximately half of our ridership visits Churchill during the summer,” said spokesperson Mylene Belanger.

“VIA Rail is communicating with customers who have reservations on the impacted trains. VIA Rail thanks its customers for their understanding, and apologizes for any inconvenience caused by the suspension of service,” she said.