The Department for Transport has said it is willing to invest 24.2m in the 26.8m scheme, with the rest of the money coming from Doncaster Council.
Transport Minister Sadiq Khan said: "An efficient and reliable transport system is the lifeblood of every local community.
"This is why we are committing significant amounts of money to improving Doncaster's infrastructure – helping boost economic growth.
"The Government is willing to invest 24.2m in dualling the White Rose Way. This increased capacity will help tackle congestion and improve journey times between Doncaster, the motorway network and Robin Hood Airport.
"The provision of new cycle lanes and footpaths will also help Doncaster encourage more walking and cycling as part of its commitment to increase the use of sustainable transport."
If the project goes ahead, a one mile stretch of White Rose Way between Junction 13 of the M18 and Lady Bank roundabout will be increased from a single road to a dual carriageway.
The investment will also deliver a new road bridge over the East Coast main line and improved facilities for cyclists and pedestrians.
It is hoped this will help tackle congestion and cut journey times.
Rosie Winterton, Doncaster MP and Regional Minister for Yorkshire and The Humber, said: "This is good news for Doncaster. Dualling the White Rose Way is an important scheme that will ease congestion and help the regeneration of the town.
"It will mean better connections to the motorway network and Robin Hood Airport, giving easier access to new markets and business opportunities."
The Department for Transport will now work with Doncaster Council to examine the detailed traffic impacts of the scheme before a decision is made on further approval stages.