This is the latest project to be supported by the UK Guarantees scheme, which was set up to allow the UK government to act as a loan guarantor to major infrastructure projects.
Site remediation is already underway and the University is in the process of shortlisting five contractors to bid for the £100m construction job.
Construction is due to start in November 2015 on the three-year project.
The winning bidder will deliver five to six buildings, providing 400,000 sq ft of mixed-use teaching spaces, catering, commercial and sports facilities to achieve BREEAM Excellent.
The job also involves restoration of a listed engine shed and adjacent office building for the student union.
The existing brown field site has been partially remediated with the final phase completing next March.
Also a separate £17m package of works to provide site-wide infrastructure is also out to tender.
This package will include underground services, bridges, roads to sub base level, demolition of power station facade and final remediation for the remaining area of the site.