Contractor Ringway Infrastructure Services can now start work on the new one mile stretch of road will run from the M1 Junction 31 to the B6463 junction.
The scheme swung Government backing because the upgrade will unlock economic growth potential in the Dinnington regeneration area.
The stretch of road is also one of South Yorkshire’s most notorious accident blackspots.
Baker said: “As well as reducing congestion on the road, this work will improve road safety so it’s a win-win for the Dinnington area. The £11.8m we are putting into this scheme shows that this government is serious about investing in the infrastructure the country needs to drive economic growth.”
The A57 M1 to Todwick scheme was one of 10 given funding approval as part of the Spending Review announcement in February last year.