The new rule will mean cyclists have priority when travelling straight ahead at junctions as well as when they step onto a crossing. A new hierarchy of responsibility system will also be introduced in a desperate attempt to curb accidents.
He said: “Millions of us have found over the past year how cycling and walking are great ways to stay fit, ease congestion on the roads and do your bit for the environment.
“As we build back greener from the pandemic, we’re determined to keep that trend going by making active travel easier and safer for everyone.
“This £338million package marks the start of what promises to be a great summer of cycling and walking, enabling more people to make those sustainable travel choices that make our air cleaner and cities greener.”
Speaking on BBC News, Mr Shapps added many would think the changes were “long overdue”.
It is believed the extra funding will also pay for hundreds of miles if extra cycle lanes to be installed.
Improvement to the National Cycle Network will also be made and new programmes will launch to encourage more to walk.
The plans was backed by campaign group, Living Streets who said the updates would “redress the balance” on the roads.
Stephen Edwards, Interim CEO said pedestrians are often left “paying the price” and account or over a quarter of road deaths.
He said: “The Highway Code currently treats children walking to school and lorry drivers as if they are equally responsible for their own or other people’s safety.