Communitybuilders has started giving out funds again, its administrators have announced.
The £70m grant and loan fund was set up by the Communities and Local Government department to support organisations that provide community cohesion services, and is administered by the Social Investment Business.
It has been open to applications but has not been making payments since the coalition government took power.
The £100m Social Enterprise Investment Fund, also run by the SIB, is still not paying out money, but is taking applications.
The other major government fund operated by the SIB, Futurebuilders England, has been closed by the coalition government.