A £16 million package will be used in Yorkshire to update bus services.
Announced by Baroness Kramer, the funding from the Department for Transport (DfT) will be used to upgrade services between Sheffield and Rotherham. This will involve a better transit service, bus stops, improved highway connections and low emission vehicles.
Bus Rapid Transit (BRT) services will connect the two locations together, along with Lower Don Valley. The highway link is a big part of this, with modifications allowing priority to be given to BRTs during congestion.
In total, the scheme will cost £28.2 million, of which DfT will contribute a maximum of £15.9 million.
Baroness Kramer said: "The coalition government is committed to investing in public transport to offer real transport choices for the people of Yorkshire. Buses are a major link for many people, and help drive economic growth."
The project was initially approved during the Spending Review process in 2011 and, with funding now secured, can be completed by 2015.