Concern has been raised after it emerged some parts of Sheffield will receive a small grants fund several times bigger than others.
The cashpots are being created for each of the city’s 28 wards because former Community Assemblies, which used to provide grants, are being axed.
Although all areas receive a basic allocation of £2,000 for their small grants fund, a ‘top up’ amount of up to £17,000 is being added based on ‘deprivation’ statistics.
It means areas such as Firth Park, Manor Castle and Burngreave receive more than affluent suburbs such as Ecclesall and Fulwood.
Ecclesall receives just £3,500 in total, compared to Firth Park which gets more than £19,000.
In a full meeting of Sheffield Council, Coun David Baker, Liberal Democrat communities spokesman, said: “How can it be fair that some areas receive five times more than others for things like road safety work and environmental improvements?
“Resources should be invested fairly.”