BOLTON Business Ventures -- the local enterprise and development agency -- is playing a key role in a government scheme to boost jobs in deprived areas.

BBV is one of 11 new community development finance institutions (CDFI) announced by Trade and Industry Secretary Patricia Hewitt.

It means that BBV will be able to boost the North Manchester Business Development Loan Fund which was launched last year.

This has so far allocated 25 loans -- 15 of them involving start-up businesses -- to small, social enterprises which find it difficult to obtain financial backing from traditional sources. Accreditation in the CDFI scheme means that the North Manchester fund will now be able to offer tax relief of five per cent to investors -- banks, financial houses and individuals -- for five years.

The investment capital is then available for businesses in Bolton, Bury, Wigan, Rochdale and Oldham.

Mr Paul Davidson, Chief Executive of BBV, said there was about £2 million in the fund now and it was hoped the accreditation would help them raise it to £5 million in the next two to three years.

It was intended to help the creation of jobs and increased prosperity in disadvantaged areas.

"We will continue to look at innovative ways of levering more investment into this important sector of the economy," he said.

This fund is one of five which BBV administers.

Patricia Hewitt said: "Potential entrepreneurs in disadvantaged areas often find it very difficult to get the finance they need to fund their business.

"This accreditation, which I hope will be the first of many, is a step towards addressing the balance and will start a process that will lever in more than £100 million investment over the next three years."

Potential investors or business people interested in loans can contact Mr Davidson on 01204 391400.