It's YES - the Albion dream finally came true today.

Champagne corks were popping at the Albion's offices in North Road, Brighton, this morning as the Deputy Prime Minister's letter arrived by fax.

Albion chief executive Martin Perry said: "What an amazing day. It appears to be the ideal result.

"Everyone who has worked so hard for this has always believed it is the right site and clearly Mr Prescott agreed with us.

"I pay tribute to everyone who has been involved but particularly our supporters, who have been absolutely brilliant.

"I am overjoyed for them and if anyone deserves today it is them."

Club chairman Dick Knight said: "To borrow a footballing term I am over Jupiter. Today's decision is a triumph for this club and the people of this city.

"I have worked eight years towards this but it is not just about one man's vision. It's about a fantastic team effort lead by Martin Perry and also the fans.

"The fans have been magnificent and it's also a victory for fans around the world.

"We've got some big celebrations planned at Withdean tomorrow so get there early."

Mr Prescott rejected the advice of the first Government inspector, John Collyer, who rubbished Falmer and said both Sheepcote Valley and Toad's Hole Valley were better sites.

He ruled out ten sites in all, including Brighton Station, Shoreham Harbour and Waterhall.

His report said: "There is nothing that demonstrates that any other site submitted would be appropriate for the community stadium."

He said the design of the stadium limited any adverse impact on the environment to an acceptable degree and that transport measures set out by the club reduced the need to travel by car.

The ODPM report added: "The Secretary of State does not feel that the character of the landscape in the area is such that the development would fail to conserve it."

Mr Prescott agreed that there was a national need for the stadium which overrides the site's protected status as an area of outstanding natural beauty.

Government planning inspector David Brier said the scheme would undoubtedly bring social and economic benefits to east Brighton and there was strong need for the community facilities it will provide.

The report said: "Overall, the Secretary of State concludes that the significant local need for a stadium, the national interest to regenerate some of the most deprived wards in the country, the significant contribution the proposal would make towards achieving regeneration and the impact of refusing permission upon the local economy amount to national considerations that weigh in favour of the proposed development."

Mr Prescott approved all four planning applications - for the stadium itself, the coach park and two which related to the widening of Village Way.

Eighty-nine conditions have been attached to the permission but solicitors were today poring over the details of the document to establish what implications they would have.

The club's popular internet forum North Stand Chat went into meltdown with thousands of fans logging on to read the news.

The verdict was even announced by the driver on the number 27 bus from Saltdean to Brighton.

Falmer Friday comes 10 years after The Argus exposed a plot to sell the Goldstone Ground under the Greg Stanley, Bill Archer and David Bellotti regime at the club.

The last ball was kicked at the Goldstone eight years ago.

Falmer was identified as the club's preferred site in 1999 and backed by the electorate in a city-wide referendum.

The planning application was submitted four years ago and was scrutinised by three Government inspectors.

The city had expected a verdict in July 2004 but instead Mr Prescott reopened the inquiry to look at possible alternative sites including Sheepcote Valley, Toad's Hole Valley, Shoreham Harbour and Waterhall.

Norman Cook, aka Fatboy Slim, whose record company Skint is the Albion's shirt sponsor, said: "It's incredible.

"I expected him to say yes but why did he have to take so long?

"All is forgiven though. Dick and I have been planning a few celebrations but I can't say too much.

"Suffice to say tomorrow's game will be a carnival. I'm DJ-ing at the Boutique this evening and I will certainly raise a shandy or two in celebration.

"It's a relief because we could not have afforded to start looking for another site. We don't have the resources."

Lord Bassam of Brighton said: "This is the best decision John Prescott has ever made.

"The city and the club have waited a long time for this and it has all been worth it.

"It's a great relief. The Albion can now go and take its rightful place at the top flight of football.

"It will be a massive boost to the economy and to Brighton and Hove as a visitor destination."

Ivor Caplin, the former MP for Hove, who introduced Martin Perry to Dick Knight when he was leader of Hove Council in 1995, said: "Ten years after the sale of the Goldstone Ground this is a great and momentous day, not just for Brighton and Hove Albion but for the people of Sussex. We are going to get a new stadium.

"It's testament to the hard work and determination of supporters who have led the campaign in an inventive and humourous way which has made it a campaign which people have enjoyed observing and taking part in.

"Now there is a big challenge for the club to say to supporters how this stadium is going to be financed and get on with the job as soon as possible."

Brighton Pavilion MP David Lepper said: "This will be a boost to the club, city and entire region and could act as a catalyst for regeneration in east Brighton.

"Myself and the other MPs have campaigned long for this verdict and our Parliamentary Early Day Motions attracted widespread support.It's a shame we had to wait quite so long but I understand John Prescott wanting to hear all sides of the argument."

Mr Lepper said he would be greatly disappointed if opponents tried to instigate a judicial review.

He said: "To his credit John Prescott really looked in great detail at all possible sites and really did a thorough job before making the decision.

"We don't want any more delays.

"Norman Baker was not happy with the decision but he at least congratulated the club and supporters.

"I think that is the right attitude and if Falmer villagers have got concerns then lets make sure they are taken into account at the detailed planning stage."

Des Turner, MP for Brighton Kemptown, predicted a party atmosphere when he attends Albion's home game against Ipswich tomorrow.

He said: "It is an enormous relief after all this time but the wait and the campaign have been worth it.

"This will bring a great boost to the city. It makes everyone feel good and will help the club go from strength to strength.

"It will also secure the club's future - Albion have been limping along without any guarantee for so long and it has been absolutely fantastic how they've managed to keep going.

"I'll be raising a glass to them today."

A spokeswoman for landowners Brighton University said: "This important decision will enable the football club to complete its business case for the stadium and the university looks forward to working with the club and council to conclude the legal agreements for the transfer of land."

The yes decision is news fans have long been waiting for.

Adrian Newnham, an Albion season ticketholder who led the Bring Home the Albion campaign, said he'll be popping corks "tonight, tomorrow and Sunday".

He said: "This could be a very long weekend."

Mr Newnham said the news was "absolutely fantastic" and it justified all the hard work put in by the club, the city council and supporters.

"This is the first time in ten years the club has actually got an asset - planning permission."

Tim Carder, chairman of the Albion supporters' club, said: "Thank God - Albion has been saved.

"I'm absolutely thrilled. I have been working seven years on the Falmer campaign and today our dream has come true. I want to thank Martin Perry especially and everyone else at the club for steering us through these turbulent and rocky waters."

TV actor Chris Ellison, from Hove, has been supporting the campaign for years and the club since he was a boy.

He said: "This is great and I'm extremely pleased. Now all we've got to do is build the thing."

Asked if he had any money to pump into the scheme he replied: "Not on me. But I'll organise a few flag days.

"This is fantastic news and I'm so pleased for everyone. We've waited long enough."

East Brighton city councillor Craig Turton said Mr Prescott's decision was great news for everybody because the stadium would provide both sporting and community events.

He said: "Not only is it fantastic for the club and the fans but it will mean more jobs and opportunities and economic regeneration for the people of Brighton and Hove.

"We're potentially talking about the largest outdoor arena in the South-East and, what with Black Rock and the sea as well, I think this puts Brighton in a good position facility-wise for the 2012 Olympics.

"I hope those who opposed it will accept the decision but also recognise the other opportunities the stadium presents. It's not just a football stadium but a community one."