More than 160 operations to remove multiple teeth from children were carried out every working day in England last year, data suggests.
Experts blame the large amounts of sugar children are eating.
Figures analysed by the Local Government Association (LGA) have found there were 40,800 hospital operations to remove teeth in under-18s, usually as a result of tooth decay, costing more than £35.6 million.
This is a 10.7% rise on the number of operations in 2012/13, the LGA said.
Izzi Seccombe, chairwoman of the LGA's community wellbeing board, said: "These figures are a stark reminder of the damage excessive sugar consumption is doing to our children's teeth.
"It is deeply worrying that the type of dental treatment required is beyond the capacity of a local dentist, due to the severity of the tooth decay, and as a result has to be done in a hospital."
A Government spokesman said: "It is shocking to see so many children having teeth removed.
"We know that over half the child population visited an NHS dentist over the last two years, which is important, but parents should help their children to avoid sugary drinks and brush their teeth regularly.
"We are introducing a soft drinks levy, as well as a broader sugar reduction programme, to encourage food and drink companies to reduce the amount of sugar that is in products in the first place."