Dave Anderson carried out work as part of the renovation of the station master’s house more than four years ago but claims he is owed £160,000 by Network Rail for expenses incurred.
He has rented out the cottage at Ribblehead which is on the Settle to Carlisle line and is now marketed as a holiday home, and barricaded himself in.
His protest was joined by other contractors today who claim to be owed money.
Mr Anderson was unavailable for comment but a spokesperson for North Yorkshire Police said officers had attended to oversee what was a peaceful protest.
Network Rail said: “We are aware of the situation surrounding Mr Anderson and are keen to speak to him to understand his concerns.”