The Jarrow area was hit hard with recession in 1933 when Palmers shipyard ceased to operate and 5000 men lost their jobs. The first idea for a nursery school in Clervaux Terrace was in 1934 when the Save the Children Fund offered £700. Over time, more funding came in from a number of organisations and with some high profile figures such as Sir John Jarvis, Ellen Wilkinson MP and Lady Astor herself. Jarrow Council Education Committee formed a Nursery School Sub Committee initially leased Jarrow Hall for the purpose of providing a nursery school.
The Building of the Jarrow Nursery School (as it was then known) was eventually completed and ready for opening on 3rd October 1939. Because of the intervention of the Second World War the opening as a nursery school was postponed until Monday 12th March 1945 when 30 children were admitted on the first day. The Nursery had been built to accommodate 80 children and additional children quickly followed.