The British Postal Museum and Archive (BPMA) has chosen a site in Swindon for its permanent home.

The collection is currently in storage, but the museum hopes it will be installed in its new location by late 2012.

The museum will be in the former Great Western Railway works, which is also home to the National Trust's headquarters and the STEAM Museum of the Great Western Railway.

Tony Conder, chief executive at the BPMA, said: "This is a fantastic opportunity for the BPMA to establish a centre for the long term and enable audiences to enjoy the treasures we hold."

A museum spokeswoman said there was no overall figure for how much the project would cost, but added that funding would come from a variety of sources, including the Royal Mail.