Each Premiership team has picked a rider from the new grading list according to their experience of professional racing.
Bacon, 28, has enjoyed success around Monmore Green in Brummies’ colours when facing Cradley.
Said Van Straaten: “We carefully considered our options and we are delighted to add Tom to our team.
“We know what a good rider he can be and although he’s not one of the youngest on the rising star list because he was a relatively late starter to the sport he’s still got plenty of potential combined with a useful bit of experience.”
Apart from Birmingham Bacon has enjoyed spells with Redcar and Peterborough but this is his first opportunity at the top level.
“It’s a great opportunity for him,” said Van Straaten. “He’s very keen to take it with both hands and we know he has some quality.
“It’s not his first time in Parrys International Wolves colours as he has made a guest appearance for us previously and he likes Monmore Green.
“We are keen to make 2021 our year at Wolverhampton, we want to bring success to the club and we believe Tom can play an integral part in that.”