The It's Your Community grant of £1,000 will be used to purchase woodland-edge trees and shrubs, plus wild flowers at the Church Lane club.
The club's three-year scheme involves a complete overhaul of the non-playing surfaces, which include hedgerows and the woodland bordering Church Road and St Cuthbert's Church.
A new hedgerow has been laid along the boundary to the railway line and a wild flower meadow has been established in the north-east corner.
Grounds chairman Peter Harris said: "All the plants, trees and shrubs are native varieties. Help in choosing suitable stock has been provided by the British Trust for Conservation Volunteers and Fylde Borough Council's tree preservation officer.
"This latest boost from It's your Community is fantastic and allows us to progress the work in the woodlands."
Each month, up to 60 projects thoughout the UK receive It's Your Community funding.
Awards must be for the benefit of the community, or to build community spirit.
The Lytham scheme is supported by Lytham St Annes Civic Society, The British Trust for Conservation Volunteers, Couns Tim Ashton and Louis Rigby and local MP Michael Jack.