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The Scottish Higher Education Funding Council is seeking to protect teaching funds this coming year with a 2 per cent cash rise, which is still a 0.5 per cent cut in real terms. This is only half the Dearing committee's recommended maximum 1 per cent cut.

Scottish research will have a cash rise of only 1.5 per cent, a real terms cut of 1 per cent.

SHEFC will allocate Pounds 598 million at the end of March and is continuing to help boost part-time student numbers. It will expand funded student places by 500 full-time equivalents to reward the rise in part-time enrolments.

Funds for fee waivers for part-time entrants who are unemployed or from low-income households will rise to Pounds 600,000. It has also decided to continue an incentive grant, which puts a 10 per cent premium on teaching funds if institutions recruit part-timers.