Their decision was the final hurdle before Pope Benedict can declare him "Blessed", the UK Telegraph reports.
The move was welcomed by Oxford University theologian Father Ian Ker, the author of the definitive biography of Cardinal Newman.
Fr Ker said: "Newman was definitely a saint and he was a very English saint. He had a great sense of humour like St Thomas More.
"He also had a great gift for friendship which has been lost in the modern age."
He said Newman was a significant figure to Catholics worldwide because he pre-empted the reforms of the Second Vatican Council of the 1960s that modernised the Church.
Father Ker added: "As soon as he is canonised he will definitely be made a theological "doctor of the Church" and he will be seen as a doctor of this period we are living in.
"He would thoroughly agree with Pope John Paul II's and Benedict's understanding of the reforms of the council. While Newman was open to new ideas he was extremely loyal to the authority and the tradition of the Church."
A formal announcement by the Vatican on Newman's beatification is expected within the next two months.
When British Prime Minister Gordon Brown visited the Vatican in February he invited Pope Benedict to Britain to perform the ceremony in person, possibly at Wembley Stadium.
No responsibility or liability shall attach itself to us or to the blogspot ‘Clerical Whispers’ for any or all of the articles placed here.
The placing of an article hereupon does not necessarily imply that we agree or accept the contents of the article as being necessarily factual in theology, dogma or otherwise.