The money, which will be available from next April, is designed to allow more parents of young children to enter education or training courses.

A similar sum has already been allocated to further education colleges to create 10,000 childcare places during the current financial year.

The move was announced by the Equal Opportunities Minister, Margaret Hodge.

"The key to the whole National Childcare Strategy is to provide good quality childcare for children and their families," she told the the Daycare Trust's annual conference.

"This is why we are doing everything we can to raise the quality and standards of childcare services, and the skills and external competence of people working in the profession."