Trafford Council's decision to approve plans for the multi-million pound redevelopment of Manchester's Old Trafford cricket ground has been upheld by the High Court.

Derwent Holdings, the owner of the nearby White City retail park, had applied for a judicial review of the decision, which has been dismissed by the court. Lancashire County Cricket Club (LCCC) said the decision means that the latest £32m stage of investment can now commence, which will include new stands and pitches.

An indoor cricket school and new public areas are also proposed as part of the Old Trafford scheme, which is designed to help secure an Ashes Test match in 2013. Two new grandstands and a refurbished pavilion will be able to cater for 15,000, capable of increasing to 25,000 with temporary seating. Ask Developments and Tesco are also working on the scheme.

LCCC chief executive Jim Cumbes said: "This is a historic moment for Old Trafford, as it will ultimately secure the future of international cricket in Greater Manchester. "This development has undergone every kind of scrutiny and delay possible and we have successfully cleared every hurdle put in front of us."

Trafford Council leader Matt Colledge added: "By dismissing this action, the High Court has paved the way for these ambitious regeneration plans to finally come to life."