The Government has announced a Dunedin school for special needs children is set to receive a four million dollar upgrade.

Education Minister Chris Hipkins says Sara Cohen School's buildings in Caversham are in a poor state, and badly in need of a major revamp.

The school will have a better layout and improved access for students.

It's part of an eight million dollar package benefiting eight schools around the South Island.

Funding has also been granted to Anderson's Bay School and Grant Brae's School for new classrooms.

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