The £10 million fund will be made available over the next two years to green urban areas and help meet the government's target to plant one million urban trees by 2022.
It is open to individuals, local authorities, charities and NGOs in order to fund the planting of trees and the first three years of their care. The Forestry Commission will administer the scheme.
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Announcing the fund, Environment Secretary Michael Gove said: "Trees are vital in the fight against climate change, which is why we must go further and faster to increase planting rates.
"We need trees lining the streets of our cities and towns, not only to green and shade them but to ensure that we remain connected to the wonders of the natural world and the health and wellbeing benefits that it brings us."
The grant will be delivered as a challenge fund, and therefore requires match funding from those who apply.
The scheme will support projects which can provide the greatest environmental and social benefits, and applications will be processed by the Forestry Commission. A map will be available to check eligibility before applying.
This forms part of the government's Year of Green Action, a year-long drive to help people to connect with, protect and enhance nature.
The fund will be open for applications this week.
(CM/MH)
