Housing Minister Mark Prisk pledged £210,000 towards the project, which will be led by St Basils youth homelessness charity.
Prisk announced said the government was “determined to help young people at risk of losing the roof over their head”.
“The Young People's Parliament gives us the chance to hear directly from those with first-hand experience,” said Prisk.
"The cash we've provided St Basils will help to give young people a voice on the issues that matter to them, and help us provide them with the solid foundations they need for a brighter future."
The announcement followed an appeal by young homeless people in December, who asked government ministers to provide a forum for their voices in a homeless youth manifesto.
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