The money from Network Rail will be used to replace a two-mile (3.2km) stretch of track running through Lincoln's city centre.

Signalling in the area, which is thought to be about 90 years old, will be replaced as part of the project.

The railway station's waiting room and ticket office will also be refurbished.

'Fewer delays'

Ben Herbert, from Network Rail, said the improvements would mean fewer delays for rail passengers and more efficient train services.

He added that pedestrians and motorists using the city centre's two level crossings would not have to wait as long for the barrier to be lifted due to the improved signalling.

"The reason we're doing this work is to improve services for passengers, ultimately.

"It will mean more reliable service, fewer delays, so hopefully, in terms of what passengers will see, there will be a benefit," he said.

The improvement work is due to start in summer 2007.