Grimsby, Wakefield, Plymouth, Worcester and the Thames Estuary area of Kent and Essex are to share £20m to invest in culture from a new government fund.

The five areas are the first beneficiaries of a cultural development fund that invited towns and cities to bid for up to £7m for specific projects.

The idea is for the money to create jobs and provide economic benefits through increasing access to the arts, heritage and creative industries.

Jeremy Wright, the culture secretary, was due to confirm the beneficiaries in what his department said would be a “major speech” on Friday in Coventry – the next UK City of Culture in 2021 – setting out his vision for the future of the sector.

Wright said the fund would support plans that use culture to create jobs, boost tourism and regenerate communities. “This is an incredible opportunity that will not only help people build careers in the arts and culture locally but also boost wider investment and diversify the creative economy.”

Any money for culture will be welcomed by the arts and heritage sector, especially in the English regions where many local authorities have made swingeing cuts. But that enthusiasm is tempered by fears for the wider future health of the nation’s creative industries because of the continuing reduction of arts and creativity in schools.

Wakefield, the home of Yorkshire Sculpture Park and the Hepworth Wakefield gallery, will receive the biggest chunk of money: more than £4.4m for a project that aims to turn the city “into an internationally renowned location promoting our world-class creative industries.”

Grimsby gets £3.2m for projects that include events and public art to revive the town centre; Plymouth £3.5m to help immersive and digital technologies and the Mayflower 400th anniversary programme; Worcester £3m to regenerate the city’s railway arches and a festivals programme; and Kent and Essex Thames Estuary £4.3m “to help develop a globally significant creative production corridor.”

The Department for Digital, Culture, Media and Sport said it expected the funding to create over 1,300 jobs, benefit 2,000 people through skills training and support more than 700 businesses. Match funding from other sources of £17.5m will also be invested.

• This article was amended on 21 January 2019. An earlier version referred to the Thames Estuary of Kent as a recipient of funding. The area also includes the Thames Estuary of Essex.