Weedon Bec Primary School is to be expanded to accommodate an extra 56 pupils.
The number of places available at the school will increase from 210 to 266 after a decision made by Northamptonshire County Council (NCC).
It comes ahead of a number of homes to be built in the village over the next few years alongside an increased demand for places at the school.
Headteacher Antony Witheyman said: “There are 70 new homes being built in the village and we have been oversubscribed for two out of the past three years.
“This is going to lead to more children in the village and as a result, more families looking to send their children to the school.
“I think we were very keen that all of the children who live in the village should have the chance to go to the school near to their homes.
“With this in mind, we approached NCC who agreed with us that there is a need for extra places.”
The plans will see a mobile classroom be demolished and three new ones built.
Mr Witheyhman sees it as a chance to make a difference and added: “This is going to have a massive impact on us but we see it as a great opportunity to move the school forward and continue to build upon its good reputation.”
The school was last given a good grade when the Ofsted government inspectors visited in November 2010.
Prior to that it was judged to be satisfactory.
“We will be able to get an increased number of resources such as better textbooks and this will help provide the children with a better education.”
The redevelopment work at the school will start in the summer of 2013 and the new places will be available for the following school year.
It has been part of a wider series of developments made by NCC approved at a cabinet meeting held last month.
They have stated there are other factors behind the reasons to increase the number of places at other schools across the county.
A report written by officials at NNC said: “There are significant levels of inward migration, where families are moving into the urban areas, combined with new housing developments.”