The government hopes that the new Council will be responsible for 'building a strong culture of leadership across the health service.'
The Council will be tasked with commissioning leadership development programmes across the NHS and ensuring leadership capacity is improved.
Health minister Lord Darzi said: 'Leadership development must start with every individual and organisation in healthcare. We have a responsibility to learn continuously, seek development and career opportunities, and spot talent.'
NHS chief executive David Nicholson said that the NHS needed to 'embrace more leaders from all levels in the service and from a wider range of backgrounds.'
The new talent and leadership guidance sets out how NHS organisations should assess their current leadership capacity and meet gaps in demand.