STUDENTS will get £500 for going to university - if they live in Salford.

Salford University is offering potential students £500 a year towards the cost of their studies, but only if they live within a local postcode.

The bursary will go to all people beginning undergraduate degree courses this year, regardless of family income.

Undergraduates will get the money for each of the three years they attend university.

But rather than a cheque, the cash will be deducted from their £3,100-a-year course fees.

Academic bosses hope the move - believed to be the first time a British university has offered a blanket payment to local students - will be encourage students put off by the costs of university.

The university's Liz Bromley said school leavers and other aspiring students within the 10 postcodes that cover Salford would be eligible. "If you live in Salford and you join us this year, you will get £500 for study regardless of how much your family earn," she said. "We are aware that fees make coming to university difficult, as only a small number of students have no financial pressures."

The university is hoping to boost student numbers over the next decade and is carrying out a £150m campus upgrade, including a new media department next to the BBC's planned mediaCity site.

And it is offering an even higher annual payment of £1,000 to high-flying students who achieve two As and a B or better at A-level. The same sum is also available for anyone starting a physics, engineering or modern language course, which are suffering a countrywide shortage of students.

Bosses at the university have budgeted £3m to pay for the bursary bonanza, but could not say how many locals they hoped to attract, insisting they were keeping an open mind.

About 4,000 undergraduates start courses there each year - 90 per cent from Britain.

The costs of studying for a degree have continued to climb, with students beginning degrees this year expected to graduate £15,000 in debt.

Most learners apply for inflation-only loans to cover annual fees and sometimes living costs.

Last year the government brought back grants for people from low-income families.

Many universities offer an array of bursaries and grants - but conditions such as parental income, academic track record, or sometimes even sporting achievement can apply.