The Esk Valley line, which runs from Middlesbrough to Whitby, is one of 23 Community Rail Partnerships eligible to apply for funding from the new Designated Community Rail Development Fund.
The fund will help deliver improvements to make a real difference at local stations, such as more seats at stations, cycle parking and better information for passengers. It can also help fund awareness campaigns to encourage more people to use these lines.
Rail Minister Tom Harris said:
"This extra funding will support the small projects that can make a big difference to passengers using rural routes and will help Community Rail Partnerships provide services that really benefit their local community."
Community Rail Partnerships promote and develop the railway services for local people and will apply to Association of Community Rail Partnerships for the funding. A full list of the Community Rail Partnerships eligible for funding can be found below. All partnerships working on these lines can apply to the fund for a grant of up to £5,000 per route.
Jerry Swift, Network Rail's Account Director for Community Rail, said:
"Network Rail has seen real improvements around the network as a result of the work of Community Rail Partnerships. We are delighted to be able to support this initiative and we are looking forward to seeing some innovative schemes that benefit rail users and local people. Delivering a railway that meets local needs is key to seeing the network develop."
Neil Buxton, General Manager at ACoRP said:
"Community Rail Partnerships can deliver a lot from very little and I am pleased that we are working with the Department and Network Rail to get this project off the ground. Local rail is thriving in many parts of the country and with continued work we expect it to grow further over the next few years."