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Scottish higher and further education this week won a 33 per cent funding increase as the ruling Executive unveiled spending plans for the next three years.

Andy Kerr, Scotland's Finance Minister, said that higher education funding would exceed ?1 billion for the first time in 2007-08, a rise of 17.4 per cent above inflation on 2005 funding levels.

The overall increase includes money to upgrade Scotland's crumbling campuses, with capital spending to rise by ?45 million in 2006-07 and by ?75 million the year after. Further education will see a 14.8 per cent rise in its funding up to 2008.

John Archer, convener of Universities Scotland, said: "This is a big vote of confidence in our universities, and we are very grateful for it."