The club is buying a new 22-acre site from electricity generator Powergen at Freeman's Wharf, and permission has been given for a 32,000-capacity stadium. Part of the money will come from the Teachers Insurance and Annuity Association, which has approved £28m to help pay for the purchase and development of the site.

Leicester City have announced that work is set to commence this month and means the forthcoming season will be the club's last at Filbert Street. Filbert Street has already been advertised for sale and there has been interest in the site.

Steve Kind, Chief Operating Officer and Finance Director of Leicester City Plc, said:

"The Board is delighted that we are in a position to announce a start date for the new stadium build and wishes to place on record its appreciation to all third parties concerned who have assisted throughout the project to date.

"It is the Board's view that this is an historic and crucially important matter to all associated with Leicester City Football Club.

"The stadium development will provide a platform that should assist and benefit the club in improving its regional and national status, and assist the future development of all aspects of the football and commercial operations of the club."