Transport secretary Patrick McLoughlin, HS2 chairman David Higgins and Birmingham council leader Sir Albert Bore have announced Birmingham as the location of the HS2 construction headquarters.
The headquarters will accommodate up to 1,500 HS2 employees with the first section expected to open from 2015.
UK Department for Transport stated that some employees will have to relocate from London but the majority will be brand new highly skilled jobs for the city. The jobs will include the engineers and designers responsible for detailed construction plans for the track, stations and signalling, as well as the staff needed to support their work.
McLoughlin said: "HS2 is a vital part of our long-term economic plan. By locating the new HS2 engineering HQ in Birmingham we are bringing skilled job opportunities into the area, spreading HS2's benefits beyond those using the new rail line.
"It will bring new investment and work into the city, helping secure the future prosperity of the region and the country."
The dignitaries have also launched the city's Urban Regeneration Company, which is expected to maximise the benefits of HS2 in the region.
The Birmingham Curzon Urban Regeneration Company will be responsible for the redevelopment of more than 140ha of land, creating 14,000 jobs, providing 600,000m² of new employment floorspace, providing space for 2,000 homes and contributing up to £1.3bn a year to the local economy.
As part of the regeneration of Curzon Street site, a further £130m will be provided to bring forward work to extend the Midland Metro. The planned extension will bring tram services into the heart of the Birmingham Curzon area and link the HS2 terminus directly into the local transport system.
Sir Albert Bore said: "Since the industrial revolution, Birmingham has been a national capital for engineering, so it is only natural that the HS2 construction HQ be based in Birmingham.
"HS2 is an important step in re-balancing the country's economy, supporting growth in the regions and encouraging more inward investment into the city.
"It is essential that we have the power to make local decisions and the Regeneration Company will allow us to realise the full potential and benefit of HS2 for this area."