The money comes as part of the government’s levelling up programme out of its UK Shared Prosperity Fund, totalling £2.6bn.
It is planned the cash will be spent by local authorities to regenerate high streets, tackle economic decline and reverse geographical inequalities.
Graham Burgess, leader of Gosport Borough Council, told The News: ‘It would be great, really welcome because we've got the money now to demolish the bus station, we’ve got the money to do the depot, the transport interchange is coming.
‘Everything is coming together, we’re working with developers on the waterfront site - it’s a very exciting time for Gosport.
‘The extra million could make a hell of a difference whether its amenities for children or the older generations.’
The local council’s indices of deprivation report reveal there are multiple impoverished ‘hotspots’ across the borough - some of which are amongst the poorest areas in the country.
Gosport MP Caroline Dinenage, said she was ‘incredibly proud’ and that the borough’s ‘best days lie ahead’.
‘I am determined to work with the Government to ensure that everyone from our area is able to reach their full potential,’ she said.
‘That is why I welcome the investment of £1m for Gosport, which can be used across a range of projects from supporting adults who lack basic numeracy skills, helping young people into good jobs, and regenerating our high streets.
‘This investment will help local residents to fulfil their potential while reducing regional inequalities that have been left untouched for too long.’
Levelling up secretary, Michael Gove, added: ‘The UK Shared Prosperity Fund will help to unleash the creativity and talent of communities that have for too long been overlooked and undervalued.
‘By targeting this funding at areas of the country that need it the most, we will help spread opportunity and level up in every part of the United Kingdom.’
As reported, the city of Portsmouth was awarded £20m of levelling up funding last year to be spent on boosting tourism.