These new eco-show homes will be built in and around the four eco-town locations, introducing nearly 2,000 people to green living. Nearly a third of these homes will be affordable, the government said.

Last year Mr Healey gave the go-ahead for the first wave of eco-town sites in Whitehill-Bordon in Hampshire, St Austell in Cornwall, Rackheath in Norfolk and North West Bicester in Oxfordshire. By 2016, 10,000 eco homes are expected to be built in the four landmark areas.

The government said that the program will introduce greener living not only for people who go on to live in the new eco-towns, but for the 65,000 people already living nearby. Construction could also potentially create and support up to 2000 local jobs, including apprenticeships to help advance new green building skills.

The latest technology like smart meters to track energy use, electric car charging points, properly insulated homes and systems for saving water and recycling or composting waste will be part of the eco-towns.

According to the government, the funding will also improve existing transport links, including routes for buses with travel information, green travel hubs and facilities for electric cars and bikes. New energy projects will be set up so that residents take their energy from natural sources.

The government added that funding will also be used for environmental education projects and boosting the energy efficiency of existing schools, including a new low carbon sixth form for the Cooper School in Bicester and retrofitting of primary schools and libraries in Whitehill-Bordon.

Mr Healey said, “Last year I gave the go-ahead to the first wave of world-leading eco-towns that will set the global standard for green living while helping tackle climate change and the shortage of affordable homes.

“Since then these four areas have done a huge amount of work to plan new homes designed and built to the toughest ever environmental standards. Today I’m backing them with GBR60m to help get these projects off the ground.”