Surrey County Council has agreed to invest in rebuilding the academy that helped to make Luke Shaw a Manchester United and England footballer.
The academy trust governing Rydens Enterprise School plans to demolish the current buildings and replace them with new facilities.
To ensure 150 extra places are created as part of the proposed development at the Hersham school, the county council has given the go-ahead to fund an extra form of entry.
Surrey needs to create 13,000 school places over the next five years.
The county’s taxpayers make a net contribution of £6 billion to the national Exchequer and receive less than £1bn back for services.
Linda Kemeny, Surrey County Council’s Cabinet Member for Schools and Learning, said: “The plans look fantastic – I’m sure Luke Shaw would agree – and we’re pleased that the school has included the extra 150 places needed for children in Hersham and the surrounding area.
“Huge demand for school places is being experienced across Surrey’s borough and districts and it means we need to find another 13,000 over the next five years at a time when our budgets are also being severely stretched by the rising number of older people needing care.
“We’re currently facing a £215 million school places funding gap and as no other part of the country pays so much into the national coffers and gets so little back, Surrey’s schools should get a fairer deal.”
Rydens was under the responsibility of the county council when former Southampton defender Shaw was a pupil.