The Chancellor has promised £1million of government support for a new police memorial near Lichfield.
George Osborne made the commitment at a Downing Street reception, confirming his support for the new National Memorial Arboretum tribute.
He said: “The police across the UK make huge sacrifices to protect us and some, tragically, pay the ultimate price. We must honour them, and this National Arboretum Memorial is a powerful idea.
“We are using money raised from fines on those who have demonstrated the very worst of values in our financial services to support tributes to those who have demonstrated the very best value in our society.”
More than 4,000 officers have lost their lives on duty since the police force was established in 1749.
Sara Thornton, Chief Constable of Thames Valley Police and a Trustee of the Police Arboretum Memorial Trust, said: “This will be a memorial for the modern age.
“We will have a dramatic online and digital presence, with archive and educational materials to bring the story of UK policing to life.”
Fundraising will now continue to make the £5million project a reality.
Sir Hugh Orde, Chairman of the Police Arboretum Memorial Trust, said: “We aim to raise the money to build and maintain this proper and fitting memorial to our fallen colleagues.
“This is particularly timely as police officers go about their duties protecting the public in challenging times.”