By Alex Kirby BBC News Online environment correspondent

A �500m revamp of Britain's ageing canal network has been unveiled.

The two-stage scheme by British Waterways will restore or build over 300 miles (480 kilometres) of canals and waterways.

Waterways are still catalysts and millions are benefiting in communities throughout the UK

George Greener British Waterways

Many experts believe a new age of the canal is dawning in the UK with narrowboat holidays increasingly popular and more people choosing to live in houseboats.

It has been estimated there are between 20,000 and 25,000 boats on the British Waterways network and a similar number on the River Thames.

The first phase, to open some 220 miles (350 km) of canals and structures, will be completed in 2002 and includes the Anderton Boat Lift.

Digging again

The pioneering lift was built in 1875 to carry cargo-carrying boats between the River Weaver and the Trent and Mersey Canal 50 feet (15 metres) above. It will reopen on 26 March.

The Anderton boat lift, a world first

The 115-ft- (35-m-) high Falkirk Wheel in Scotland is the world's first rotating boat lift and will open on 1 May.

A programme of nine further canal restoration and new waterway schemes is being announced by British Waterways in partnership with an independent charity, the Waterways Trust.

Covering 100 miles (160 km) of waterways, from London to the Lake District, the programme includes the first new canal to be designed for a century, the Bedford and Milton Keynes Waterway.

Renaissance

It will run for 20 miles (32 km), and is expected to create 500 new permanent jobs.

George Greener, chairman of British Waterways, said: "Canals were catalysts for economic growth two centuries ago, and with our partners we're restoring and opening them as fast as they were originally built.

Canals offer tranquillity

"Today, waterways are still catalysts and millions are benefiting in communities throughout the UK.

"Our current programme is set to deliver �100 million into local economies every year, from Scotland to the south of England, and to create 13,000 new permanent jobs."

Roger Hanbury, chief executive of the Waterways Trust, said: "Accessible to all, rich in heritage and important havens for wildlife, inland waterways provide a peaceful and tranquil environment for everyone."

The other current restorations are: