Three Scunthorpe area companies are the first to benefit from the newly named £3 million British Steel Support Fund with a further three applications soon to be approved.
The first grants from the government fund, which is designed to support the North Lincolnshire economy, will create 110 jobs and safeguard an additional 71.
In total, almost £500,000 has been awarded to Moulded Fibre Products, Saxon Quality Foods and R J Engineering and will create 45 new jobs.
Along with the additional three projects, the total value will be more than £890,000 and will create more than £8.5m of private investment.
Baroness Liz Redfern, chair of the British Steel Task Force said: “This is great news and demonstrates the importance of the British Steel Support Fund in helping businesses within the British steel supply chain and other local businesses survive, grow and prosper – helping create and safeguard jobs.
“We will soon be considering a further 18 applications. Along with those already awarded, we are helping create much needed jobs and demonstrating a real commitment to supporting British Steel.”
A British Steel spokesman said: "We are delighted to hear that the British Steel Support Fund is backing local business and helping creating these new jobs.
"The community in which we operate is incredibly important to us and we wish these businesses every success with their expansion plans."