The SCG Trust has reignited its bid for a new stadium at Moore Park with a modified 40,000-seat proposal now on the table.

The trust's hopes of a new stadium seemed dead in the water last year after the state government ruled in favour of providing the majority of its $1.6 billion stadia investment into ANZ Stadium, ending a push for a 60,000-seat venue at Moore Park.

However, Fairfax Media understands plans for a knock-down and rebuild on the existing Allianz Stadium site has gathered momentum during the past few months, with all key stakeholders set to back the proposal put forward by the SCG Trust.

The plans by the Trust won't interfere with the government's pledge to turn ANZ Stadium into a permanent rectangular facility from 2019, but there is a hope Allianz Stadium will receive more than just a coat of paint once its turn comes around.