Stowmarket Town Council has conducted a review into the funding of the Town Centre Partnership (TCP).
The report says there is a continuing need for the initiative and that the town is in many ways better placed than other similar sized towns in the country.
The council agreed to fulfil its start-up funding commitment to the partnership, providing a further £26,100 this year to the £78,300 the scheme had already received.
However, the report says the partnership should be encouraged to look at other income and grant funding steams to eventually work towards becoming self sufficient.
It reads: “The report recognises that a financial future predicated upon public sector funding is unrealistic given the constraints currently being applied to such funding.
“It is hoped the partnership will be able to manage its costs and develop its income streams proving the partnership with greater independence and opportunities in the future with a sustainable framework.”
Town centre manager Sharon Brown said the report was very encouraging.
She said: “I am very pleased the town council recognises the achievements of the partnership and that they will continue to support us going forward.”
Partnership chairman Tony Hutchinson said: “We are delighted by what has come out of this review.
“They have confirmed with provisos they will continue to fund us this year and in future years money will be available on a project to project basis.
“We have changed the partnership very much over the last year to 18 months.
“We have the classic car show, Stowmarket feat food festival and other events coming up this year.
“We will be earning money outside the funds we get from the council.”