The college will probably be known as the University of Chester
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The University College Chester has been awarded university status.
The college received confirmation this week and is expected to be known as The University of Chester from September.
The college, which has bases in Chester and Warrington in Cheshire, is currently accredited to the University of Liverpool.
But it will now have powers to award degrees in its own right, the Department for Education and Skills (DfES) said on Tuesday.
Hope University College in Liverpool will also be awarded the status, making it the city's third after John Moores and the University of Liverpool.