A new nursery in the grounds of West Suffolk Hospital, in Bury St Edmunds, is set to create 40 jobs.
The 96-place nursery, which will be operated by Busy Bees Childcare, is set to be completed in the autumn and will cater for children aged three months to five years. Places will be offered to hospital staff and the general public.
The purpose-built facility will include a kitchen, office, three base rooms for the children and adjoining sleeping areas.
The construction is being funded by Busy Bees, which will pay a nominal fee for hire of the hospital land, with a £100,000 contribution from West Suffolk Hospital for extending services, such as water and electricity.
Jan Bloomfield, director of workforce and communications at the hospital, said: "The start of construction work on this on-site nursery is great news, as it will make it much easier for people with young children to pursue a career at West Suffolk Hospital.
"We are committed to attracting the best possible staff to work at the hospital. The new nursery will act as an extra incentive to those with young children, who otherwise may struggle to find convenient childcare while working in very busy roles."
The Busy Bees group operates 129 nurseries across the country.
Lynn Woodward, managing director of Busy Bees, said: "We are really excited about this new venture. The nursery will create 40 new jobs, which will be recruited locally."
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