The 120-place facility in Barrow, with 25 places funded by the NOF, is due to open in May and will offer a pilot health visitor scheme and flexible hours.
Donna Duff, who set up Safe Hands Childcare with her husband Stephen and friend Sandra Crease, said the nursery would be open from 6am to 10pm, 'because many people do not work the nine to five day now, people are on shifts and many mothers work irregular hours'. She said the extended hours would also enable single parents to attend evening classes.
Mrs Duff added, 'As a mother of three young children I have experienced the barriers that have to be overcome to be able to return to work. This grant will help Safe Hands Childcare create out of school hours childcare for those parents who need it.'
The neighbourhood nursery will employ 19 staff and will also provide transport to Furness College for children whose parents are studying there.
Helen Sykes, neighbourhood nursery officer at the Cumbria early years partnership, said, 'It's been extremely hard work with many setbacks, particularly on the property front, but the directors have proved they have the tenacity to make this new venture a success.'
The Barrow project, one of 20 due to be created across Cumbria, was part of the latest batch of 19 neighbourhood nurseries in England given more than 2m in NOF funding. Puffins Neighbourhood Nursery in Torquay, Devon, plans to use its 49,000 grant to create 26 new places and a new undercover outdoor play area, child-height peephole windows and a waterplay experience with miniature locks and canals.
Puffins spokeswoman Maureen Gard said, 'The work we are planning will definitely give this nursery the "wow" factor, we are certain local children and their parents will be delighted with these extensions and improvements to our excellent nursery.'
The bulk of the NOF cash has been allocated to the North-west (579,354); the North-east (410,800) and Yorkshire and Humberside (Pounds 460,200).