A LUNCH has been organised for people who have received cash grants from the district council to help kick-start their businesses.

The event will enable new business people to meet councillors, representatives from Business Link, the Prince's Trust and the employment service.

Bromsgrove District Council has helped nine new businesses set up over the last year.

The authority awards small business start-up grants of up to £500.

It also supports Business Link in Herefordshire and Worcestershire which pays for initial business training and on-going advice in the first year.

District council leader Cllr Nick Psirides (Con, Norton) said: "We try to do all we can to encourage new enterprise in Bromsgrove.

"It has always been a thriving area and we want it to remain that way."

However, such schemes are in jeopardy.

The council's economic development officer, Peter Michael, warned: "The Government's single regeneration budget, which has matched-funded contributions from local authorities over the last seven years, will cease from the end of March 2002."

"New funding must be found if this valuable scheme is going to survive."

Mr Michael went on to say: "We have to find new funding, probably from the European Social Fund, and hope more established local companies will give us their backing."

The council's chairman, Cllr Mike Gill (Con, Woodvale), will address the lunch to be held at the Council House, in Burcot Lane, on Thursday October 4.