The Tertiary Education and Training (Funding and Governance) (Scotland) Bill was passed by 75 votes to 46 in the Scottish Parliament on Tuesday 20 January 2026.
The Scottish Funding Council (SFC) will become responsible for funding national training programmes and apprenticeships, alongside colleges and universities. The aim is to simplify the system, to make it more coherent and transparent, so that it works better for employers and Scotland’s economy.
The Bill will see the establishment of a new apprenticeship committee, enable Ministers to set funding priorities in a new national strategy and will ensure that the voices of workers, employers, businesses and students are at the heart of the funding process. The Bill also makes new provision to promote widening access to higher education and to tackle gender-based violence at colleges and universities.
Alongside the legislation, there will be greater transparency on college and university principals’ pay, and colleges and universities will be expected to adopt more fair work principles. There will be a review of contribution rates for apprenticeships, and the Bill requires a review of the credit-based funding system for colleges.
Scottish Government Press Release
Minister for Higher and Further Education, Ben Macpherson MSP, has provided more detail about the costs associated with the Bill. Anticipated costs over the next six years range from £2.1 million to £28.1 million; the central estimate is £15.1 million. Savings are expected from financial year 2028-29.
Mr Macpherson wrote to the Education, Children and Young People Committee on 16 January 2026, providing more details about a range of issues that were raised during Stage 2.
TET Bill Stage 3 Ministerial Letter to ECYP Committee – 16 January 2026 (PDF)
