Dolly: was cloned by scientists.
The Roslin Institute near Edinburgh has been given the go-ahead to artificially stimulate donated human eggs in a process known as parthenogenesis - the first time the research has been carried out in Britain.
Scientists have also been granted permission to carry out research on embryos donated as a result of IVF treatment.
This licence will allow the creation of stem cells for use in testing the effectiveness of new medicines and the study of congenital illnesses, such as Parkinson's disease. In the past, the Roslin Institute, which gave the world the first mammal to be cloned from an adult cell, has expressed interest in developing human clones.
Although the licence granted by the Human Fertilisation and Embryology Authority (HFEA) yesterday does in no way permit human cloning, it could pave the way for improved techniques, making the creation of a human clone possible.
Researchers would have to apply separately to be allowed to take the science further.
A HFEA spokeswoman said it would be impossible to develop a human clone from the procedures involved in parthenogenesis.
"Parthenogenesis is not cloning because you have only got half the DNA in the cells, which are not capable of developing into a clone."
And HFEA chair Suzi Leather said the licence for research using donated embryos would be stringently monitored.
"After careful consideration of all the scientific, ethical and medical aspects of the project, the HFEA Licence Committee agreed to grant an initial one year research licence to the Roslin Institute.
"It is important that any research involving human embryos is scrutinised and properly regulated."
The HFEA was given the power to licence parthenogenesis after a ruling by the House of Lords in March 2003 clarified the law regarding the regulation of embryos created outside the body.
