A tour bus and the Puffing Billy Steam Train collided. Credit:Laurie Harris

One person has been taken to hospital after the Puffing Billy steam train and a tour bus collided in the Dandenong Ranges.

Police said the driver of the mini-bus was heading east on School Road, in Menzies Creek, when it collided with the steam train just before noon on Tuesday.

Nobody on the train was injured, but police said one of the sixteen people in the mini-bus was taken to hospital.

Four people were treated at the scene and, of those, one person was taken to Dandenong Hospital, an Ambulance Victoria spokeswoman said.