Community groups will share in a £156,000 windfall.
The money comes from the the regional development agency Advantage West Midlands and has been given to the Market Towns Initiative for Bromyard.
Bromyard Market Towns officer Adrian Turton said: "We're very pleased to have secured the money and to be handing it out to community organisations."
He said the allocation of grants was in the early stages and that applicants and amounts had yet to be confirmed.
However, one group whose funding of £7,000 has been confirmed is Walk Around Bromyard. Organised by representatives of local organisations, it is being launched in May and features eight walks around Bromyard and the neighbouring villages of Edwyn Ralph, Stoke Lacy and Bishop's Frome.
Spokesman Stuart Diplock said: "The idea behind the project is to promote walking, but it's also great for tourists and local people to take part in."
Other groups in line for funding include Bromyard Heritage Centre, which will be given a grant to install central heating and employ a full-time staff member to run the centre in summer.
Money will also go to Herefordshire Voluntary Action, to employ a development worker for Bromyard, and to the Bromyard Means Business group, to improve street signage in the town.
Mr Turton said: "We still have some money left and we're hoping to have allocated it all by June."
To apply for a grant, contact 01432 260706.
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