Reshuffle for Scottish further education funding

Scotland is going to change its funding system which covers universities, colleges, and apprenticeships, as well as students support. Plans published today show that responsibility for providing national training programmes, including apprenticeships, will move from Skills Development Scotland (DSD) to the Scottish Funding Council (SFC).

SFC’s responsibilities for funding further education student support will now fall under Student Awards Agency Scotland (SAAS), like higher education student support.

Following consultations across the higher and further education sector, legislation is set to be published in the coming weeks to deliver these changes in Autumn 2026.

Higher and further education minister Graeme Dey said: “We want to ensure that Scotland has a world-class skills system to meet the demands of the changing economy and that our £3 billion of investment in the tertiary skills system delivers the greatest impact for learners.

“The need for this change is now clear, with consultation responses and other evidence supporting reform to arrangements for post-school funding. These changes will help to reduce complexities and provide greater clarity around there roles and responsibilities of each funding body.

“We will now look to press ahead with the next stage in taking forward these changes, through legislation and other preparations. We also will work closely with SAAS, SDS and the SFC to reassure staff and ensure continuity of services.”