College Funding Increase in the 2026-27 Scottish Budget

14th January 2026

In her budget speech today, Finance Secretary Shona Robison announced that funding for colleges in Scotland will increase by around 10%, delivering an extra £70 million this year. This is a significant boost intended to support further education and skills training across the country.

What the Increase Means

The 10% increase represents a sizable additional investment from the Scottish Government into colleges compared with the previous year's budget.

This boost is expected to help support college operations, student services and teaching capacity across Scotland.

Why It Matters

Colleges in Scotland have faced years of underinvestment, with real‑terms funding cuts over the past parliamentary session leaving many institutions under pressure. Independent reports and sector groups have warned that without substantial funding increases, colleges have struggled with outdated facilities, reduced course offerings and even financial sustainability challenges.

A larger investment now helps to:

Stabilise college finances

Expand opportunities for students

Support skills development linked to jobs and the economy

But it should also be seen in context: although a 10% allocation growth is significant, past reports have noted that overall college funding had fallen in real terms by around 20%, meaning some of the increased money is catching up rather than marking a completely new level of investment.

What the Funding Will Likely Support

While full details are still to be published, increased funding is expected to be used for:

Course delivery and teaching resources

Student support services

Workforce development and skills programmes

Enhancing links with employers for training and apprenticeships

These areas are important both for young people entering education and adults seeking retraining or upskilling.