The council will use the investment to fund schemes which help those sleeping rough into a new home, as well as specialist support to help them back on their feet.
Housing and Homelessness Minister Heather Wheeler MP said: “No one should ever have to face a night on the streets, and as a government we are taking steps to ensure people are never faced with this as their only option.
“These are vulnerable people who need specialist support to get back on their feet and turn their lives around.
“The funding will ensure those sleeping on the streets across Doncaster have access to professional help and guidance to start their recovery, helping to build on the government’s ambition to end rough sleeping for good.”
The investment will also be used to set up team of navigators, specialist support workers who will work as a single point of contact to help people off the streets and into recovery by directing vulnerable people to the services they need, such as mental health support, substance misuse counselling and housing advice services.
This funding, which will be shared with Leeds, forms part of the £100m Rough Sleeping Strategy which was published in August 2018.
This strategy sets out to support up to 6,000 vulnerable people, helping them get rapid specialist assessments and off the streets and into a home.