Deprived areas in Manchester and the West Midlands are to receive £75m in a "highly-targeted" drive to tackle underachievement in schools.
This marks the first expansion of the London Challenge - introduced in 2003 to raise standards in educational "disaster zones" in the capital.
This provided intensive support for schools in the lowest-achieving areas.
The government says improved exam results in London reflect the success of the initiative.
For three years, from 2008, there will be a Greater Manchester Challenge, with £50m for schools in Bolton, Bury, Manchester, Oldham, Rochdale, Salford, Stockport, Tameside, Trafford and Wigan.
The Black Country Challenge will receive £25m for schools in Dudley, Sandwell, Walsall and Wolverhampton.
The London Challenge, first launched as a five-year project, will be extended, with additional funding of £80m.
The initiative was introduced in response to the stubborn problem of struggling schools in the poorest boroughs - targeting support at 70 secondary and 60 primary schools.
Under the programme, schools can receive special advisors, learning mentors, homework clubs and help with English language lessons. There are also residential trips for under-privileged children.
It can also support recruitment, such as helping teachers with housing loans.
Ministers have pointed to improved GCSE exam results in London as evidence of the effectiveness of sustained, intensive support.
In last year's results, 58.3% of students in state schools in the capital achieved five or more good GCSEs, above the national average.