The fund is the first of two £20m pots created following a four-month consultation with young people with lived experience of violence and professionals working with them.
The first will examine and fund the work of diversionary programmes including mental health support, whole family interventions or mentoring.
The fund has already committed £5m to £10m over the next three years for black, Asian and minority ethnic-led organisations, it has announced.
Through the funding the YEF aims to discover how offering alternatives to arrest, conviction and custody to children who have offended can prevent them from becoming involved in violence later in their lives.
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