Atkinson, 21, will join City on loan from Championship side Huddersfield until the end of the season. The deal is subject to City receiving the necessary clearances from The F.A and Football League.
He will first join up with Phil Parkinson's squad over the weekend at the club's Apperley Bridge training ground as City step up their preparations for next Tuesday's Sky Bet League 1 fixture at home to Preston North End.
The Halifax-born midfielder's arrival at the Coral Windows Stadium comes shortly after the loan signings of Adam Reach from Middlesbrough and Kyle Bennett from Doncaster Rovers.
Like Reach and Bennett, Atkinson is no stranger to League 1 football having spent the first part of this season on loan at Tranmere Rovers.
As part of his time with Tranmere, the 6' 0'' forward-thinking midfielder played for Rovers against City at the Coral Windows Stadium back in October.
Atkinson played 28 games in total for Tranmere this season, scoring three goals in the process.
Before his move to Prenton Park, Atkinson enjoyed a loan spell at Chesterfield last season. He made 16 appearances for the Spireites towards the start of the 2012/2013 season, again showing his eye for goal by netting five times.
Despite his time with Chesterfield though, Atkinson actually finished the campaign back with his parent club Huddersfield. He made 9 appearances for the Terriers' first team over the period of November to February and scored in their home defeat at the hands of Leeds United.
Atkinson has appeared 13 times in total for Huddersfield - seven of which have come at Championship level.