Dallaglio has been out of the Test arena since June 2004

The 33-year-old announced his international retirement in 2004, but has since changed his mind.

England coach Andy Robinson has also confirmed that Leicester number eight Martin Corry will retain the captaincy.

Sale flanker Magnus Lund wins his first call-up, but Phil Vickery is injured and will miss the game against Wales.

Dallaglio's selection gives him the chance to add to his 73 caps, although Robinson was keen to stress that the World Cup-winner would not walk back into the England side.

"It's great to be able to include Lawrence," said Robinson.

Dallaglio's career in pictures

"He has done well for Wasps and his appetite to play for England again is huge.

"However, he knows as well as anyone that the back row is a massively competitive area and like any player he will need to work hard to be selected."

We believe Martin Corry is the man to lead England throughout the tournament England coach Andy Robinson

In addition to Dallaglio, Corry and Lund, the squad also includes flankers Joe Worsley, Lewis Moody and Pat Sanderson as well as Sale's Chris Jones who can play at lock or blind-side flanker.

Dallaglio agreed his return to the England squad was no guarantee of a place in the team.

"I'm obviously delighted to have been given the opportunity to be part of the England set up again," he said.

"I'm very much looking forward to getting together with the squad soon.

"It's up to all of us now to make sure that England go out and play as well as we can, and I'm looking forward to competing for a place in the team."

Lund has been in excellent form with club side Sale

Lund has been an integral part of the Sale side who have swept to the top of the Guinness Premiership and into the Heineken Cup quarter-finals.

The 22-year-old's father is from Norway, but the open-side has already played for England at Under-21, Sevens and A team level.

Lund told BBC Sport: "I'm delighted, although it was a bit of a shock. I was just happy and comfortable at having broken into the first team at Sale last season.

"This isn't something I could have anticipated at the start of the season and I'm really looking forward to training with the England elite players.

"I'd like to pay credit to Philippe Saint-Andre (Sale director of rugby), Kingsley Jones (head coach) and in particular Nick Johnston (conditioning coach). He's put in so many hours with me outside the regular training sessions."

Meanwhile, Robinson said the decision over installing Corry as captain was never in any doubt.

"Martin was inspirational during the autumn and we believe he is the man to lead England throughout the tournament," said Robinson.

New injury fears for Vickery

Vickery's troublesome back injury has resurfaced, prompting a recall for Leicester prop Julian White.

Why is Dallaglio back in? We've got a clone of him in form playing at number eight who is the captain From M Have your say on Scrum V

"We will, in conjunction with Gloucester, monitor Phil's progress over the next few weeks but he will not be considered for the Wales game," said Robinson.

"I am disappointed for Phil because he is an outstanding member of the squad and we hope to see him back soon."

The 36-man squad will be cut down to 30 next week, with the players not required likely to drop down into the England A squad.

Wasps flanker Tom Rees and Bristol scrum-half Shaun Perry, who were both tipped for possible senior call-ups, have been included in the 20-man A squad.

Australia-born fly-half Shane Drahm is also named in the A squad, after qualifying on residency grounds.

England squad for RBS Six Nations:

Backs: Josh Lewsey (Wasps), Mark van Gisbergen (Wasps), Mark Cueto (Sale), Tom Voyce (Wasps), Ben Cohen (Northampton), Tom Varndell (Leicester), James Simpson-Daniel (Gloucester), Mike Tindall (Gloucester), Jamie Noon (Newcastle), Stuart Abbott (Wasps), Olly Barkley (Bath), Charlie Hodgson (Sale), Andy Goode (Leicester), Matt Dawson (Wasps), Harry Ellis (Leicester), Peter Richards (Gloucester)

Forwards: Steve Thompson (Northampton), Lee Mears (Bath), George Chuter (Leicester), Andrew Sheridan (Sale), Julian White (Leicester), Matt Stevens (Bath), Perry Freshwater (Perpignan), Danny Grewcock (Bath), Steve Borthwick (Bath), Simon Shaw (Wasps), Alex Brown (Gloucester), Louis Deacon (Leicester), Martin Corry (Leicester, capt), Lawrence Dallaglio (Wasps), Joe Worsley (Wasps), Chris Jones (Sale), Lewis Moody (Leicester), Pat Sanderson (Worcester), Magnus Lund (Sale), James Forrester (Gloucester)

England A squad:
Backs: Sam Vesty (Leicester), Paul Sackey (Wasps), Matthew Tait (Newcastle), Ollie Smith (Leicester), Chris Bell (Leeds), Jon Clarke (Northampton), Shane Drahm (Worcester), Shaun Perry (Bristol), Richard Wigglesworth (Sale Sharks)