Work on a stretch of road dubbed Death Mile could begin within the next year. There were 35 serious smashes on the A66 outside the village of Long Newton, near Stockton, between 1987 and 1992.
In 1985, seven people were killed in just seven months on the dual carriageway between the villages of Sadberge, Long Newton and Elton.
Gaps in the central reservation used by eastbound traffic making a right turn for Long Newton are to be blocked - and replaced with a two level, grade-separated interchange.
It will mark the climax of decades of campaigning by villagers, road safety campaigners and three consecutive constituency MPs.
Plans for the junction were first unveiled in the 1980s and announced by Deputy Prime Minister John Prescott in April 2001 but his words were not matched with Government cash.
A Government spokeswoman said yesterday: "The Highways Agency and their consultants, Atkins, have worked very hard to get the scheme built as soon as possible. There are some statutory stages to go through before we can let a contract for work and we are working on these at the moment.
"Next month we will be publishing orders that we need to have in place to allow us to go to the next stage.''
She revealed: "There are two possible programmes after letting out the orders. With a public inquiry we would probably not build until around 2005, but without a public inquiry - and the scheme has a lot of public support - we could probably start in site, Autumn 2003.
"We are doing as much as we can in consulting with the affected parties, meeting councillors and discussions with as many people as want them to try and ensure that we move ahead on the shorter programme.''
Ward Coun Mike Cherrett said: "It is slow. I think they are edging towards it and there is a glimmer at the end of the tunnel.
"They went through all the hoops but fell at the last hurdle when the funding was not forthcoming from the Government. But, I think the Government have said 'yes' now, and the Highways Agency are not expecting any problems.''
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