Colchester are building a new stadium to replace Layer Road
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Colchester United have been awarded a £2m grant from the Football Stadia Improvement Fund - part of the Football Foundation - for their new ground.
Work recently began on the new £14m stadium at Cuckoo Farm, which will become the new home for the U's from the 2008/09 season onwards.
The stadium will seat 10,000 - but the capacity be can expanded to 18,000 if required in the future.
Colchester Borough Council are paying £10m towards the project's cost.
The East of England Development Agency and the Department of Communities and Local Government are offering £1m each, alongside the FSIF's £2m grant.
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