It is administered by the Community Development Foundation (CDF) on behalf of the Department for Communities and Local Government and aims to bring communities together and promote positive relationships.

How much is on offer: There is £4m on offer, which will be split between two rounds of funding. Grants in round one will be up to £12,000, which is to be spent over two years from April 2009 to the end of March 2011.

What it will fund: The fund has four key priorities, derived from the government's framework Face to Face and Side by Side: A Framework for Partnership in our Multi-Faith Society. These include supporting shared spaces for interaction and social action and improving opportunities for learning that build understanding between communities. While all applications must relate directly to one or more of these priorities, proposals with a significant focus on children and young people will get particular consideration. These might include initiatives that increase the confidence and participation of young people and involve them in the planning of activities.

Who can apply: Local, regional and national organisations that are involved in or are planning to get involved in local inter-faith work. Any local community or voluntary organisation, whether or not they are faith-based, may apply, as long as their proposals relate to the fund's priorities.

How to apply: More information on the first round of funding will be available from 1 August on the CDF website: www.cdf.org.uk. CDF will also hold a number of free briefing events across England.