Lady Gaga will open the MTV Video Music Awards (VMAs).

The 25-year-old singer announced she will kick off the show at Los Angeles' Nokia Theatre on August 28 by getting a group of sequined fans to unfurl a banner reading "Gaga to open VMAs!!" outside the MTV studios in New York's Times Square yesterday.

Gaga then premiered the video for her new single 'You and I' in the busy central square, which sees her hanging out with her crew, drinking and dancing, with the clips mixed with her performing a slowed-down version of 'You and I' while topless.

Explaining the ideas behind the clip, she told MTV News: "I really wanted it to be real, and I knew that MTV wanted it to be a true documentation of my life, and as someone that lives halfway between reality and fantasy, so do all my friends.

"So I felt it would be an injustice to not sort of honor them in this short film that we did."

"I brought my friends here, and we did a jazz rendition of 'You and I,' and we sort of just hung out together. And played around and did what we usually do, which is be creative with one another and talk about music and art and fashion and f**k around."

As well as opening the show, Gaga - who wore her infamous meat dress to the ceremony last year - is expected to join a number of artists in a musical tribute to Britney Spears.

The MTV VMAs take place on August 28.