The unit, based in the Government Office for the West Midlands, will be managed by an executive made up of principal youth officers and members of the West Midlands Voluntary Youth Sector Forum.
Hugh Disley, principal youth officer at Staffordshire County Council, said: "Youth work lacks a voice and we have seen that funding opportunities are being missed by youth organisations because youth work is not well recognised."
The 14 local authorities involved have committed to providing 48,000 a year over the next three years to the unit, which will also seek other funding.
The unit will focus on staff development, increasing access of youth services to funding and accreditation for young people.
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