THE region's cultural sector will be boosted with £16m of investment.

The Arts Council England's North East Cultural Sector Development Initiative (CSDI) has been awarded £6.1m from Europe to invest in skills and business development.

Organisations taking part are required to match the European money with other sponsorship, meaning that from now to September 2008, there will be a total investment of £16m.

The money will support 60 projects across 6,000 businesses in the arts and cultural sector, creating 390 jobs and safeguarding 860.

The money will also be used to train 1,100 people in business and vocational skills.

It is forecast that the investment will create £3.8m in turnover for the organisations involved.

Mark Robinson, executive director of the Arts Council North East, said: "We are thrilled to have been awarded this money.

"The CSDI is a unique initiative supporting the development of a strong creative economy in North-East England.

"We know this investment will have a huge impact on the future growth of the cultural sector."

Andrew Lewis, deputy director at the Government Office NorthEast, said: "Creative industries make a major contribution to our economic and cultural vitality.

"The European programme is proud to support this valuable initiative, help- ing small arts businesses to thrive throughout the North-East."

One of the beneficiaries, the Tees Music Alliance, has been awarded £143,000 from the CSDI to support music-related activities, including advice on working more effectively in the UK music industry.

Musicians will receive one-to-one mentoring with music industry specialists, advice on marketing and the chance to work with established music producers.

Paul Burns, the director of Tees Music Alliance said: "This funding means that we can continue to develop a better infrastructure of events and services for musicians in the Tees Valley.

"This will reduce the need for our artists to move away from the region and help to create the kind of buzz which attracts the attention of the national media and music industry.

"The CSDI funds will also be used to further develop our events programme, which provides showcase opportunities for the many of the musicians and music businesses we represent.

"In particular, our Stockton Riverside Fringe Festival will benefit, allowing our regional artists to play alongside some major established acts."