John Caudwell said the trek was a tough challenge

Staffordshire entrepreneur John Caudwell, founder of Phones 4 U, led a team of six other cyclists on the 18-day, 2,300-mile trip last month.

The money raised will go to the Caudwell Charitable Trust to benefit sick, disabled and terminally-ill children across the country.

He said the trek was nothing compared to what families of sick children face.

Mr Caudwell said: "Every mile we pedalled raised just over �172 from sponsors and contributors.

Sometimes a small amount can make a massive difference John Caudwell

"It was a massively tough challenge but is nothing compared to the challenges faced by some of the children and families we will be able to help."

The charity ride saw the cyclists, all businessmen from the Stoke-on-Trent and Stafford areas, pass through cities including Naples, Rome, Milan, Geneva, Dijon and Paris.

Mr Caudwell said: "The value of our grant is subjective: sometimes a small amount can make a massive difference.

"Equally, a family or community may have raised an enormous amount towards the cost of medical treatment but may have exhausted every source or be up against the ultimate deadline, in which case we'll step in."

Mr Caudwell has previously completed three 1,000-mile-plus cycle rides, each raising more than �300,000.

He regularly cycles from his company's Stoke-on-Trent headquarters to business meetings in London.

His fortune was estimated at �1.28bn in the last Sunday Times Rich List.