After a town-wide ballot, the proposed Business Improvement District in Ulverston is set to go ahead after 70 per cent of those voting opted to support the idea.
In total, 40 per cent of Ulverston businesses had their say on the scheme.
The initiative means Ulverston businesses will pay an extra 1.25 per cent on business rates from September. The fund will go towards a central pot to pay for exclusively local projects.
It is hoped the scheme will raise an additional £100,000 a year during its initial five-year period.
According to the BID proposal, the extra cash will be used to promote Ulverston to visitors, make information about town centre shops more accessible, expand and revitalise the regular street markets and build strong links between local businesses, organisations and councils.
The next stage of the BID process will see a board set up to oversee spending and coordination of the projects.
Chris Nelson, chairman of the BID steering group, said: “It’s a fantastic result. A lot of people have put a lot of hard work into it so we are very grateful for that. Now the real hard work starts as we need to realise the improvements for the town.
“It involves raising the profile of Ulverston and getting more things happening in the town.”
Barrow and Furness MP John Woodcock said: “I’m very encouraged by the level of support shown by Ulverston’s business community for establishing a Business Improvement District in the town, which I was pleased to be asked to support.
“Ulverston has immense potential, both as a centre of high-tech manufacturing and as a town full of innovative and unique small and medium enterprises, who have weathered tough trading conditions over the past few years with real tenacity.
“Establishing a BID will enable business owners to work together and take control of local initiatives that will lead to a more competitive and commercially attractive town. If re-elected, I look forward to working closely with the new BID to help Ulverston prosper.”