A method of allocating available bandwidth between stations configured in a write token controlled loop communications network. When a station desires to reserve additional bandwidth to itself, it captures the write token and transmits a bandwidth allocation token which includes a field indicating the originating station's amount of currently reserved bandwidth. Each station on the loop adds to the field the amount of its currently reserved bandwidth. When the allocation token arrives back at the originating station, the write token is regenerated and transmitted. If the total amount of currently reserved bandwidth indicated in the allocation token plus the desired additional bandwidth sought to be reserved is less than the allocatable bandwidth, then the reservation is granted. The additional bandwidth desired is then added to the total reserved by the originating station.