The infrastructure work is due to begin in the autumn

The local authority has agreed to help pay for improvements to the ageing sewage network in the east end of the city with funds of up to �4.5m.

The council said water and drainage were not its responsibility, but the regeneration of the east end was being held up by a lack of capacity.

It said a direct financial contribution was the only way forward.

Scottish Water said its priority had been improving tap water and it had no money left to pay for upgrades to infrastructure.

The new agreement will see both sides fund the upgrade, allowing work to get under way on several projects, including a �52m housing development at Garthamlock.

Up to �3.5m will be made available to Scottish Water between October 2004 and March 2006, with the council carrying out an additional �1m of surface water management works at Queenslie to assist with industrial developments.

Council leader Charlie Gordon said: "While water and sewerage are not our responsibility, the council is determined to do all it can to ensure quality developments such as that proposed for Garthamlock, and we are satisfied that giving �3.5m to Scottish Water is the right thing to do."