SIR David Steel, Presiding Officer of the Scottish Parliament, last night welcomed the continued sponsorship of the Scottish Politician of the Year Awards by The Herald and Zurich Financial Services.

After the glittering success of last year's inaugural ceremony, the awards this year will be handed over at a gala dinner in the grounds of Prestonfield House Hotel, Edinburgh, on St Andrew's Night. The event will be televised by Scottish Television and Grampian Television.

Among the celebrities attending from outside politics will be Sir Alex Ferguson, manager of Manchester United, the most successful manager in British football history. Corporate tables are already sold out.

Zurich and The Herald founded the awards last year when the principal honour - Politician of the Year - went to First Minister Donald Dewar, mainly in recognition of his contribution to the establishment of the Scottish Parliament, and his leadership of the governing coalition.

Sir David. who has agreed to be Patron of the Awards, said they encouraged high standards in the Scottish Parliament where media scrutiny of MSPs' performances was now an everyday part of Scottish public life.

''It is therefore fitting that The Herald, along with Zurich Financial Services, is continuing to sponsor this event while involving the public in the choosing of the recipients. These awards are becoming established as part of Scottish political life,'' Sir David said.

Mr George Wylie, the distinguished Scottish sculptor, designed the awards, which are conferred in several categories. This year they are for the Scottish Politician of the Year, Politician to Watch, Best Scot at Westminster, Debater of the Year, Euro-MP of the Year, Maverick of the Year, and Committee Member of the Year. There will also be a special award to be announced on the night.

Judges will be drawn from political journalism, academia, and commerce and include Zurich chief executive Sandy Leitch, chairman of the judging panel, and Wallace Dobbin, Zurich's director of strategic affairs; Harry Reid, departing editor of The Herald; and political journalists Murray Ritchie (The Herald), Douglas Fraser (Sunday Herald), Bernard Ponsonby (Scottish Television), Michael Crow (Grampian Television), Brian Taylor (BBC); and Alice Brown of Edinburgh University.

Mr Reid said The Herald was delighted to continue its sponsorship, having supported the establishment of the Scottish Parliament for a generation. ''Last year's event was a wonderful success and we are confident this year's will be even better,'' he said.

''The Herald and Zurich have already in the space of a year established the Scottish Politician of the Year Awards as the premier honours event in the political life of Scotland and we aim to continue developing this most worthwhile of projects.''