NSW Deputy Premier and member for Oxley Andrew Stoner announced the funding.

The rest area, to be located at the Glenwarrin and Ellenborough Falls Road intersection, will be dedicated to the memory of Neville Howse VC - Australia's first Victoria Cross recipient.

Having gained a Victoria Cross for his act of valour in the Boer War, Howse again volunteered his services at the outbreak of World War I, where his considerable talents were used to great effect as Director of Medical Services.

"Born in Britain and later migrating to Australia, Major General Neville Reginald Howse also hailed, for a brief period of time, from the Manning Valley so it is fitting that we remember him and his service to our country with a local memorial site," Mr Stoner said.

"After years of service to the New South Wales Army Medical Corps and the Australian Imperial Force, he also made a significant contribution to Australian politics as Federal Minister for Defence and a member of the National Party.

"I am pleased to announce this funding for the War Veteran's Remembrance Drive Association to create a special remembrance area in honour of this Australian hero, as part of the Centenary of Anzac Commemorations 2014-2018.

"I support the work of the Association in preserving the memory of our soldiers through this Remembrance Drive, with commemorative monuments on our State roads and highways.

"It is understood this project also intends to further establish a series of visitor rest areas along the route of Remembrance Drive from Wingham to Wauchope."

The Neville Howse VC Rest Area is expected to be opened after an official dedication ceremony in July.

More information about Anzac Day and Neville Howse can be found at the Australian War Memorial Website at: http://www.awm.gov.au/