The manifesto launched by education secretary David Blunkett outlines plans to invest£8bn.
The cash will enable major repairs to 7,000 schools and provide 650 new or completely refurbished schools, the manifesto says.
Plans include trebling the number of specialist schools to 1,500 by 2006 and giving headteachers more financial autonomy.
Labour hopes to see half of all young adults going into higher education by the age of 30.
Mr Blunkett said: 'We need a change in our secondary schools to match that which we have achieved in our primaries.'
LABOURS EDUCATION MANIFESTO
-Recruit 10,000 more teachers and 20,000 classroom assistants and support staff
-Increase the share of national income devoted to education
-More financial autonomy for headteachers
-Treble the number of specialist schools
-Half of all young people into higher education by the age 30
-A step change in the provision of adult basic skills to provide access for at least 750,000
-Provide free nursery places for all three-year-olds