The violence started in the Red Dragon pub on the estate

The Caia Park Volunteer Project - which also helps people with mental health problems - will receive a �72,000 grant to replace Lottery funding, which was to end this month.

More than 70 people have been arrested since the Wrexham estate was hit by two days of disturbances last month, sparked by a dispute between some residents of the estate and Iraqi Kurd refugees.

Social Justice Minister Edwina Hart said "Caia Park has been in the news headlines for all the wrong reasons recently and I am glad to be able to give the community some good news."

Residents worried about the outbreak of violence near their homes have been already been offered the chance to have professional help via the national agency for victims of crime, Victim Support.

The substance misuse project also helps voluntary groups

The assembly cash will maintain a scheme which helps people with the more personal mental health, alcohol and drug dependency issues.

The money will fund a volunteer co-ordinator and assistant volunteer co-ordinator up to the end of March 2005.

The Caia Park Volunteer Project also arranges training and work placements for individuals who experience difficulties in gaining employment.

The two posts will support two volunteer groups and 60 volunteers.

Ms Hart said: "The Caia Park Volunteer Project provides an important service to vulnerable members of the community and it would have been a major body blow if the project had been jeopardised through loss of funding.

"This is a very timely opportunity to praise the work of volunteers such as those in the Caia Park Volunteer Project and to ensure that they are given the support they need to continue their excellent work."