The route – through St Peter’s Square, along Princess Street, Cross Street and Corporation Street and re-joining the existing Metrolink line just outside Victoria station – was the subject of a major consultation in 2011 and a public inquiry earlier this year.

Ministers have now determined the Transport and Works Act Order for 2CC required by Transport for Greater Manchester (TfGM) to build and operate the new line.

TfGM can now finalise arrangements for delivering the scheme, which will see a new, larger tram stop in St Peter’s Square and a new stop in Exchange Square.

Councillor Andrew Fender, Chair of the Transport for Greater Manchester Committee, said: “This is fantastic news and means we can now press ahead with developing the detail of the delivery programme, appointing a contractor and getting work started as soon as possible.

“By providing the necessary capacity, flexibility and reliability for the future tram network to operate, the second city crossing will play a vital role in helping to build a strong and prosperous economy for Greater Manchester.

“It’s an essential part of the expansion programme which also complements the city’s redevelopment of St Peter’s Square – so this really is excellent news.”

Construction is due to start next year with completion in 2016/17.