Approval has been given for a new junction to be built on the A1 - the second of three phases of work for the Grantham Southern Relief Road.
Workmen began on the £80 million project in September with the aim of easing traffic congestion in the town by linking the A1 with the A52.
A new roundabout has been built off the B1174 and a new section of road is being built westwards towards the A1 along Tollemache Round, culminating with a second roundabout.
That first phase of work is almost complete and the second phase will start shortly with the construction of a grade separated junction, which has now been approved by Lincolnshire County Council and which will allow the new road to connect to the A1.
A council spokesperson said: “Planning permission for a junction off the A1 has been granted by the county council.
“This work will be undertaken in phase two of the Grantham Southern Relief Road to tie in with phase one, which is being completed as we speak.
“The programme to build phase two will be governed by legal orders to be processed by Highways England.
“A start on site will be governed by Highways England procedures and approvals. Our intention is to build this phase next.”
The third and final phase of the project will involve the building of the Southern Quadrant Link Road, which has received plannng permission from South Kesteven District Council.
It will cross the Witham Valley, the East Coast railway line and the River Witham by means of a viaduct/bridge, which will be constructed as part of the road.
It is hoped the new road, which is expected to be completed in 2019, will divert HGV traffic away from the town centre by joining the A52 at Somerby Hill with the A1.