English soccer club Bristol City's dream of a new stadium has moved a step closer, thanks to a new agreement signed between the club and Sainsbury's Supermarkets.

The partnership, which has been agreed subject to Sainsbury's achieving planning permission for a new store at Ashton Gate, will provide vital funds to the club's ambitions to build a new stadium that would not only serve as its home, but as a regional stadium for Bristol.

"This is a huge step forward in the club's plans," said Colin Sexstone, chief executive of Bristol City, to Stadia magazine. "Moving Sainsbury's across Winterstoke Road will help generate sufficient funds to build the new stadium. Sainsbury’s current site offers exciting opportunities for redevelopment.

"We have been listening hard and will now be consulting again with all interested parties. It is imperative that we get this right and we want to work with the community to achieve this. If Bristol is to benefit from a new stadium it is essential that we get best value for the existing site, and the board is unanimous that the agreement with Sainsbury's delivers this."

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The club's new stadium plans have already been recommended for approval by Bristol City Council officers, and it hopes to start the 2012/13 season in its new home. Financial details of the agreement with Sainsbury's were not made public, but local press placed the figure in the region of US$30 million - a significant contribution to the club's plans. Sainsbury's would sell its current store in the area for new housing.