Preston and Leyland could both get up to £25m as part of a new £3.6bn initiative to narrow the north-south divide.
The Towns Fund has been announced by Boris Johnson’s government to help tackle under-investment in areas of the UK, particularly across the Northern Powerhouse.
The first 100 locations have been identified and almost half are in the North of England.
A Whitehall statement said the list included “places with proud industrial and economic heritage like Preston and Blackpool which have not benefited from economic growth in the same way as more prosperous areas.”
The Towns Fund is “part of the Government’s commitment to level up all regions by boosting productivity, skills and living standards.”
Northern Powerhouse Minister Jake Berry commented: “In July the Prime Minister promised to level up 100 places across the country, and today we’re delivering that promise in Lancashire.”
The leader of Preston Council, Coun Matthew Brown, said: “The council is pleased that Preston has been included. There are already many reasons to invest in Preston and we have numerous initiatives underway to benefit the city for our residents and workforce.
“I look forward to working with the Communities Secretary to explore how a Town Deal can further boost jobs, economic growth and the cultural offer of the city.”