Shropshire Fire and Rescue Service were called to Eardington, near Bridgnorth, at around 2pm after receiving reports of a fire on the embankment.
One fire appliance including the Incident Support Unit was mobilised from Bridgnorth.
A spokesperson from Severn Valley Railway said: "It was on Eardington Bank, the fire service attended and it was dealt with.
"There hasn't been an impact on services at all but we did start the day with a red alert so the team were aware of this."
The fire measured approximately 200 square meters of grass.
Crews used one hosereel jet and a high pressure lance to extinguish.