The proposals include a major supermarket development and the creation of a modern business park for Newport off the A518.

The plans are being prepared in partnership with developers Davidsons Developments and St. Modwen.

An informative exhibition is being held at Burton Borough School between 4-8pm on July 7 so that local residents and businesses can learn more about the scheme. A further event will then be held later in the summer ahead of a joint planning application.

Under the scheme, a new teaching block would be built at Burton Borough School funded by Building Schools for The Future grant. Following resident feedback to the council, the scheme will provide open space and sports recreation facilities in Newport. This is likely to also include an all weather pitch.

The new supermarket development together with a petrol filling station would be built off Station Road. Plans also include the provision of a new bus service around Newport Town connecting the development with existing residential and commercial areas as well as significant public realm improvements in Newport Town Centre.

Land off the A518 would also be transformed to include a modern business park, providing much-needed new employment land in Newport as well as creating hundreds of jobs.

Councillor Paul Watling, cabinet member for Children & Young People, said: “The scheme means that the current Burton Borough School will be substantially upgraded and refurbished to address current capacity issues using money from the Building Schools for the Future funding.

“The development will also mean that much-loved local green space at Shuker’s Field will be preserved. This is something that residents have told us they are keen to keep.”

Councillor Richard Overton, cabinet member for Borough Towns Development, said: “These are massive and extremely exciting plans for Newport which will bring huge benefits and complement the £1.5m regeneration work that has already been completed in the town.

“It’s an extensive scheme that will provide a major boost for the town’s economy and will play a key part in creating and keeping jobs and business in Newport

“This is absolutely key to ensuring Newport has a vibrant and sustainable future. It is expected that the development will create more than 500 jobs as well as providing a range of housing from starter accommodation through to three and four bed family properties.

“A council survey has shown that many people in Newport do their main food shopping outside of the town. This development will keep that money in Newport and attract people from the surrounding area to the town.

“The exhibition on July 7 will give residents the opportunity to find out more about the details of the scheme.”

St. Modwen’s senior asset manager Juliet Rossiter said: “We know the area well having had a long established land holding there for more than 10 years.

“We feel that Newport will benefit from the development that we and our partners are proposing and that it is well placed to serve as a catalyst for future investment and growth.”

If the scheme receives planning approval, it is expected that the first phase of the development would commence in 2012.