Littleport commuters will benefit from 79 extra car parking spaces and 30 extra cycle spaces.
Work to expand Littleport railway station car park began last week and is due to be completed before Christmas.
East Cambridgeshire District Council hopes this will boost the number of commuters accessing the Kings Lynn to London Kings Cross line.
Cllr Bill Hunt said: “These spaces are much needed and are a significant boost for people who want to use Littleport station to get to work.
“Alongside the extra spaces which are being built at Ely train station, and coupled with the opening of the new Cambridge North railway station, it means that travelling to work by train for people in our district has become much more viable.”
He added: “We have worked closely with the contractor to ensure that disruption is minimised for users while the work is being undertaken and the current car park will remain open throughout the works.”
Littleport district councillor David Ambrose-Smith said the expansion would have a positive impact on the village.
“The spaces will boost the local economy and make Littleport and the surrounding area a more attractive place to live.”
Station car parking charges will remain the same.