Manchester United's plans for an extensive makeover of the Old Trafford vicinity have progressed as Trafford Council selects a consortium to create a comprehensive plan.

The move comes as Newcastle United chiefs continue to look through their own proposals for either extending and developing St James' Park, or moving to a new purpose-built stadium. The likely venue for the latter would be Leazes Park.

Last month, Man United unveiled their intention to build a brand-new 100,000-capacity stadium beside their current Old Trafford ground. This ambitious project is part of a larger scheme set to transform the Trafford Wharfside area, envisaging new housing and local facilities.

The Red Devils are yet to announce a funding model for their planned stadium – estimated to cost £2billion – but Trafford Council is pushing ahead on its side of the project with the appointment of architects Allies and Morrison to work on a master plan for the surrounding area. The council said the new consortium would work alongside United, the Greater Manchester Combined Authority and a proposed Mayoral Development Corporation to maximise the opportunities presented by the stadium.

Councillor Liz Patel, Trafford Council’s executive member for economy and regeneration, said: “The Old Trafford Regeneration is one of the biggest growth opportunities in the country and will be fantastic for our borough.

“New homes, new neighbourhoods, new businesses, new jobs, new green spaces and new community facilities – all within walking distance of public transport.

"A lot of publicity has been about Manchester United's new stadium – this regeneration will complement those plans, and our master plan will be central to shaping the future of this area. We are delighted to be starting the master planning in earnest and look forward to working with the project team to deliver a comprehensive vision for the neighbourhood."

Just this week, Lisa Nandy, the Secretary of State for Culture, Media, and Sport, told ChronicleLive that the Government would be willing to throw its weight behind a major football stadium project on Tyneside, in the same way that it has backed Man United’s £2billion plans for Old Trafford.

Ms Nandy announced last month that Labour was “really keen to crack on” with the Manchester United’s new 100,000-seater stadium plans, with Red Devils co-owner Sir Jim Ratcliffe having said that no public money would be needed for the football ground itself but that Government cash would be required for a wider regeneration of the surrounding area.

She said: "In relation to the Newcastle project in particular, we take the same approach as we took to the Old Trafford regeneration. We are keen to support, we want to see it go ahead.

“Obviously it will depend on the club and the amount of investment they can attract. But what we are working to do is make Britain a very attractive place for people to invest, through a series of measures including economic stability. but also including the Football Governance Bill which is currently in Parliament, which provides stability and certainty around ownership, financial flow in the game, putting fans back at the centre of the game, which we think will help attract good owners to come and invest more here in the UK.”

Magpies chiefs continue to insist that no decisions have been made on the club's St James' Park project. Newcastle are maintaining their stance that they will fully update fans when they are in a position to communicate, with the Fan Advisory Board due to meet with club chiefs to discuss the project.

With Leazes Park reportedly identified as the preferred site for a new stadium, should PiF and the ownership group decide to move, campaigners have already raised objections to potentially lose green space and the impact on the environment. One potential solution that has been suggested, however, would be turning the existing St James' Park stadium into new parkland that could mitigate any loss at Leazes Park.

That would require extensive collaboration with Newcastle City Council, who - unlike with their Manchester counterparts - are yet to be officially consulted on the Magpies' plans. They insist that no official talks over a new stadium or redeveloping St James' Park have been held between them and the club.

A council spokesperson said: "There has been a lot of speculation and interest among fans and others about the future of St James Park. As stated previously, the city council has had no formal talks with the club about this important matter. Our door remains open as it would with any developer, and when the club wants to discuss their plans in detail with us we will be happy to sit down, listen and advise."