
The requirement for those wanting to complete a Level 3 early years educator (EYE) course to have at least grade C in both GCSE English and Maths had been criticised by early years sector groups for causing a recruitment crisis.
In announcing the U-turn, early years minister Caroline Dineage said staff will no longer be restricted by GCSE qualifications.
Instead, "functional equivalent" tests, which show good working knowledge of maths and English, will now be accepted to complete the course.
The change in policy forms part of an Early Years Workforce Strategy, to be put in place ahead of the roll out of the government's 30-hour free childcare entitlement for three- and four-year-olds this September.
The U-turn over the GCSE requirement has been welcomed by early years sector leaders.
Neil Leitch, chief executive of the Pre-school Learning Alliance, said: "The alliance has long campaigned for equivalent qualifications such as functional skills to be accepted as alternatives to GCSEs and so this announcement, while overdue, is very welcome.
"We're clear that this change is not in any way about lowering standards in the early years, but rather about giving talented and dedicated practitioners the opportunity to progress their careers. It's vital that we continue to work to ensure that functional skills qualifications are robust and meaningful."
National Day Nurseries Association chief executive Purnima Tanuku said: "We are delighted and very relieved to hear that the minister and the Department for Education have listened to the sector's very real fears and are doing something about it.
"We have been campaigning for the choice of GCSEs or functional skills since 2013 and are pleased that this new measure will soon be put in place to enable the sector to move forward."
Cheryl Hadland, founder of nursery chain Tops Day Nurseries, also welcomed the U-turn.
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