BUS passengers in east Cleveland will see better facilities on the busiest routes.
Work has started in Redcar to improve Arriva's 63 service, which operates from the town's bus station and carries two million passengers a year.
The white bus shelter, near the town clock, will be replaced with four new shelters and traffic flow will be moved to the west side of the clock.
A further 35 shelters and 46 low floor bus kerbs will be installed on the route.
It will be the first of three routes to benefit from £1.5m investment over the next two years through Redcar and Cleveland Borough Council's bus strategy proposals.
Councillor Eric Empson, cabinet member for strategic planning, development and infrastructure, said: "We're the only council in the Northern region to see bus passenger numbers increase.
"We've been rewarded for that by the Government and we need to continue to work with the bus companies to raise the quality service."
The Government has given an extra £450,000 to spend on transport improvements.
Arriva's 65 service, which starts at Whitby and goes through Boulby, Loftus, Carlin How, Brotton, Skelton, Guisborough and Ormesby, is planned for similar improvement during the year.
The third service, the 48/49/X4, which travels through Lingdale, Boosbeck, Skelton, Saltburn, Marske and Redcar to Middlesbrough, will complete the main route upgrades.
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