A Hertfordshire district will receive thousands of pounds for its efforts in supporting small businesses in the area, it has emerged.

St Albans has been given £291,864 by the Local Authorities Business Growth Incentive (LABGI) scheme, the St Albans Observer reports.

LABGI was launched in 2005 as a financial incentive programme which gives local authorities the power to keep a share of increased non domestic rate (NDR) revenue generated by businesses. The revenue windfall can be spent however the council chooses.

Councillor Chris Oxley, cabinet member for resources, commented to the publication on the district's achievement: "The district council has put in many years of hard work to improve the local economy. We have seen unemployment fall and tourist spend increase."

He indicated that St Albans would use its share of revenue to continue to support small local businesses.

In 2005, LABGI awarded more than £126 million to over 270 local authorities across England.