The project aims to transform this important historic park so that it can continue to provide an attractive, welcoming and well used green space that meets the needs of current and future generations.

Work will start on site in 2014 and be completed by the end of 2015, with the new activities and events taking place from 2013 to 2017.

This exciting project will restore the park's historic buildings, gardens and parkland and provide new paths and play equipment. Alongside these improvements, the project will deliver a wide range of community activities that will allow more people to get involved in the park. These range from discovering and learning about the park's heritage and wildlife, new art and cultural events, an educational programme and opportunities for volunteering and training in environmental and horticultural projects.

At the core of the project, the craft village and buildings will be improved and developed to provide a new community room, visitor reception and information room and a new multi-use courtyard space that can be used for a wide range of activities and events.

Markeaton Park was originally part of the grounds of Markeaton Hall, built by the Mundy family in 1755. In 1903, Emily Mundy gifted a part of the park for children's recreation that has developed into the popular Mundy Play Centre, while the rest of the park was either gifted or acquired in the 1930s for public use. While the hall was demolished in 1964, much still remains of the original historic parkland and gardens, including the listed Orangery and stable buildings, gardens and a large number of parkland and veteran trees.

Councillor Martin Repton, Cabinet Member for Leisure and Cultural Services, said: "This is great news for Derby! Markeaton Park is a much loved and well-used city park not only by the people of Derby but by people across the Midlands and has been so for many decades. The park to fulfil its potential in the twenty-first century needs plenty of tender loving care and major investment to shine again in terms of excellence providing a superb facility in the heart of the city.

"Heritage Lottery Fund and Big Lottery Fund support of £2.5million for which we are very appreciative and grateful enables us to dramatically enhance the quality and quantity of what we can offer at the park to the public."

Carole Souter, Chief Executive of HLF, said on behalf of HLF and BIG: "We're delighted to be bringing a bit of seasonal cheer to a number of popular parks, including Markeaton Park, especially as demand for funding continues to be very high. It's been a tough year for those caring for our public parks but HLF and BIG’s commitment to this important part of the UK's heritage is unwavering.

"Parks enrich millions of people's lives on a daily basis – providing room to relax and reflect – and it’s vital that we continue to value and protect them not just for ourselves but for the next generation too."

Note to editors

Today's second-round pass award is from the Parks for People programme which has a two-stage or two-round application process. The full grant has now been awarded following a successful second-round application from these parks.

The Parks for People programme uses Lottery funds to support the regeneration, conservation and increased enjoyment of public parks and the conservation of cemeteries. The programme aims to improve the local environment and put parks firmly back at the heart of community life. HLF and BIG will continue to fund public park projects from FY 2013 / 2014 to FY 2015 / 2016 with a joint investment of £100m.

HLF is continuing to fund public park projects in 2012 / 13 with an investment of £24m. The next closing date for applications is 28 February 2013. The Big Lottery Fund (BIG) remains committed to working in partnership with the Heritage Lottery Fund (HLF) in making a success of the Parks for People programme with an allocation of £5m in 2012 / 13.

Since 1994, HLF has awarded a total of £640m to over 700 public parks across the UK.

Big Lottery Fund (BIG): the largest of the National Lottery Good Causes distributors, has been rolling out grants to health, education, environment and charitable causes across the UK since 2004.

Further information

HLF Press Office: Katie Owen on 020 7591 6036 / 07973 613 820.