Bristol MetroBus scheme has been funded £27m by the UK government to boost the existing bus services.
The MetroBus network provides new express bus services into the city using dedicated 'busways'.
With the funding, second phase of the Bristol MetroBus scheme could start along with the construction of another 3.1 miles of busways in the south of the Bristol.
UK Transport Minister Baroness Kramer said: "This £27 million will help transform travel around Bristol.
"The South Bristol Link will help get traffic off the roads, spark economic growth and link people to jobs.
"Our investment continues our commitment to help build stronger local economies, give our cities first-rate transport systems and benefit the UK as a whole."
The new South Bristol Link is expected to connect Ashton Vale to Temple Meads MetroBus section which is already under construction.
The bus service is expected to help cut congestion and encourage people to use public transport.
UK Transport Secretary Patrick McLoughlin said: "It is part of the government's long term economic plan to improve the lives of people up and down the country, by investing in transport, creating jobs and driving economic growth."
