A £400,000 recruitment programme has been organised to provide care for children under council protection.
Redcar and Cleveland Borough Council has announced it will invest the money in its fostering service during the next two years.
The authority plans to use the money to recruit three specialist foster carers each year and find eight new respite carers over the same period.
It said the arrival of the new carers, who would be paid £500 a week on top of the normal fostering allowance, would save the authority money as it meant the children would not have to leave the borough, their families and schools.
The borough currently has 61 foster carers, including six who provide short breaks for families with children with disabilities. There are 94 children in foster care. However, there are continual problems with the retention of carers - 11 retired last year and six were recruited - while suitable care outside Redcar and Cleveland can cost between £1,500 and £4,000 a week.
Patrick Harford, lead councillor for social care, said: "We are confident there are people who will respond to the challenge and it is only right that they will be properly rewarded for such dedicated work.
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