The 61 year old music mogul broke his back in a bike accident at his home in Malibu earlier this year.
And Simon, who is said to have ditched his vegan diet to help him recover, is rumoured to have kickstarted the process for his onscreen return as early as the beginning of next year.
A source said: “Simon was gutted at having to sit out the show this year.
“But he’s been totally focused on getting better and will definitely be back on the panel.
“He’s come on in leaps and bounds recently, thanks to letting his body heal, a healthy diet and some California sun. He’s also enjoyed being surrounded by his family. But he loves his job and is raring to go, especially as BGT offers so much joy and light entertainment in dark times.
“The panel are all really excited to have him back, though they thought Ashley did a great job and he’ll definitely perform on the show again next year with Diversity,” they continued to The Sun Online.
Simon was replaced by Diversity star Ashley Banjo during the finals of BGT earlier this year, which were postponed due to the coronavirus pandemic sparking a nationwide lockdown.
The X Factor and Britain’s Got Talent boss, who was seen walking with his family for the first time since his accident, is said to “feel very lucky” his injury isn’t worse.
Giving an update on his recovery, Good Morning Britain star Piers Morgan recently told OK! magazine of Simon: “He’s had a very serious back injury and he’s taking the time, quite rightly, to get himself right.
“I drop him notes from time to time and I’m encouraged he’s making good progress, but these things take a long time. He feels very lucky it’s not even worse.”
Meanwhile, BGT judge Amanda Holden admitted she feared for Simon’s life after she heard the news of his accident.