TOURISM on the North Yorkshire coast is reaping rewards from a raft of new cash grants.

Scarborough and Bridlington hotels and attractions were among 148 in coastal Yorkshire and North East Lincolnshire awarded handouts of up to £5,000.

The Coastal Tourism Initiative benefited nearly 500 employees and 295 companies received free trading advice as part of the £2 million scheme.

Backed by Yorkshire Forward and private cash, and propelled by lead partner Yorkshire Tourist Board, it helped businesses to meet changing customer demands.

Typical projects qualifying for grant aid included en suite bathroom additions, fixture upgrades and marketing improvements.

David Andrews, chief executive of the Yorkshire Tourist Board, said the grants were already paying dividends.

"In the long term it will ensure that visitors' experiences along the coast meet and even exceed expectations."

Angela Harris, owner of the Bay Court Hotel, Bridlington, received a marketing grant.

She said: "The funding made it possible for me to develop an informative and comprehensive website which is proving a great hit with both new and old customers and helping promote our business worldwide."

Updated: 09:51 Thursday, April 22, 2004