Nursery teachers offered £4,500 bonus to work in deprived areas - see full list

Qualified nursery teachers will be offered £4,500 bonuses to work in 10 deprived communities under a new scheme to boost early years outcomes.

Fewer than one in 10 nursery staff currently hold a graduate teaching qualification – yet evidence shows that the more highly qualified the staff, the better the outcomes for children.

The incentive scheme, first announced last July, has gone live for qualified nursery teachers in Sandwell, Middlesbrough, Tameside, Rochdale, Bolton, Hartlepool, Rotherham, Dudley, Luton and Barking and Dagenham. It will be expanded to 30 areas later this year. They have all been chosen based on deprivation, whether they have a shortage of teachers and how many pupils are school ready.

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Just 58% of children in the most deprived communities reach the desired level of development by the end of reception, compared to 77% in the least deprived areas, the Department for Education said.

The extra cash bonus will help recruit and retain the best teachers in the communities that need them most, it added.

The Early Years Teacher Recognition Payment is open to teachers holding Qualified Teacher Status, Early Years Teacher Status or Early Years Professional Status, who are working in one of the eligible local authority areas.

Education Secretary Bridget Phillipson said: "It shouldn't matter if you're born in Sandwell or Middlesbrough, in Rochdale or Rotherham – every child deserves the best teachers, with the best tools at their disposal, to give them the very best start in life.

"These measures will help nurseries attract and keep more qualified staff — so they can deliver the funded childcare that saves families up to £8,000 a year in the communities that need it most."

Executive Director of the Early Education and Childcare Coalition Sarah Ronan said: "When disadvantaged children start school 4.7 months behind their better off peers, it’s right that we do everything we can to close that gap as early as possible. Research shows us that graduate teachers can have a positive impact on child development particularly for those at risk of being left behind.

“We welcome this incentive to attract more graduates to work in communities where they can make a difference and change lives and we are particularly pleased to see the Government offer this bonus in even more areas.

"The expansion of Stronger Practice Hubs is also welcome. A well-trained and supported workforce is the most important lever we have in driving outcomes for children. An investment in early years professionals is an investment in our children."

The full list of 30 local authority areas to benefit in 2026: Barking and Dagenham, Birmingham, Blackburn with Darwen, Bolton, Bradford, Derby, Dudley, Halton, Hartlepool, Kingston upon Hull, Knowsley, Leicester, Liverpool, Luton, Manchester, Middlesbrough, Nottingham, Oldham, Peterborough, Portsmouth, Rochdale, Rotherham, Salford, Sandwell, South Tyneside, St Helens, Stoke-on-Trent, Tameside, Walsall, Wolverhampton.