Cornish people will be granted minority status under European rules for the protection of national minorities.
Chief Secretary to the Treasury Danny Alexander will make the announcement on a visit to the county later.
Dick Cole, leader of Cornish independence party Mebyon Kernow, said: "This is a fantastic development. This is a proud day for Cornwall."
The Cornish will gain the same status as other Celtic communities the Scots, Welsh and Irish.
Mr Alexander, who is due to visit Bodmin, said: "Cornish people have a proud history and a distinct identity.
"I am delighted that we have been able to officially recognise this and afford the Cornish people the same status as other minorities in the UK."
'Celtic pride'Mebyon Kernow leader Mr Cole said: "A lot of people have been working for many years to get Cornwall the recognition other Celtic people of the UK already receive.
"The detail is still to come out on what this might mean, but make no mistake that this is a proud day for Cornwall."
"Start Quote
End Quote John Pollard Cornwall Council leaderI pay tribute to all those who have worked tirelessly over many years to achieve this status"
A group of key figures within Cornwall has been working on the paper setting out why the Cornish should be recognised by the Council of Europe's Framework Convention for the Protection of National Minorities.
Campaigner Bert Biscoe, an Independent councillor who is a member of the group, said: "I very much welcome that the Cornish as a group can stand equally beside all other groups in British society."
Cornwall Council leader John Pollard said: "There are obviously significant benefits for Cornwall in being included within the framework convention, which is worth celebrating, and I pay tribute to all those who have worked tirelessly over many years to achieve this status."
He said national minority status would not initially bring any additional funding or powers to the council or to Cornwall.
Communities Minister Stephen Williams added: "This is a great day for the people of Cornwall who have long campaigned for the distinctiveness and identity of the Cornish people to be recognised officially.
AIMS OF THE CONVENTION:
- To ensure that the rights of national minorities are respected by combating discrimination
- Promoting equality
- Preserving and developing the culture and identity of national minorities
"The Cornish and Welsh are the oldest peoples on this island and as a proud Welshman I look forward to seeing St Piran's Flag flying with extra Celtic pride on 5 March next year."
Three previous attempts to include the Cornish in the Framework Convention had been unsuccessful, with the last made in 2011.
In March this year, Deputy Prime Minister Nick Clegg announced the government would be investing £120,000 into the Cornish Language Partnership to promote and develop the language.
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