Work is expected to start next year on construction of a new platform and entrance to enable more trains to serve the station.
The funding is enough to progress the next stage of development work for the introduction of a new track and platform to be added alongside the existing platform 4, creating an island platform on the west-side of the station.
The project will improve station capacity from 2024 to accommodate new services, such as East West Rail (EWR). This investment is separate but complimentary to the consultation currently underway on EWR: a project which would see Oxford better connect with destinations to Milton Keynes and Cambridge.
Designs will also be developed for a new western station entrance that will be built next to Botley Road and will link to the new platform via a subway.
As part of the plans the road network will also be improved near to the station as Botley Road bridge will be replaced and the road lowered to enable standard double-decker buses to pass underneath for the first time.
Early consultation about the proposals has taken place with local residents ahead of the plans being formally submitted to Oxford City Council. Further funding is required for the full implementation of the scheme and the full business case for the project will be submitted to the Department for Transport later this year, with a decision on final funding expected in spring 2022.
Claire Mahoney, Network Rail industry programme director, said: “We are delighted to have been awarded this government funding. The rail network in Oxfordshire plays a vital role in transporting passengers and freight around the country. With Oxford station close to full capacity, these plans for a new platform and western entrance are key to enabling an increase in passenger services, such as East-West Rail, as well as paving the way for wider station development in the future.”