The current exemption, which had been due to run out in 2010, will now be extended to 2014.

The move follows a campaign by charities and churches to fight the introduction of water charges.

More than 2,300 people signed a petition and handed it over to the Scottish Parliament earlier this month.

The campaign was organised by the Church of Scotland, the Scottish Catholic Church and the Scottish Episcopal Church.

Infrastructure Minister Stewart Stevenson said: "A strong case for retaining the exemption scheme was made by voluntary sector organisations and church groups during our recent consultation and we have listened to those views."

'Delighted'

Rev Jock Stein of the Church of Scotland Dunfermline Presbytery who was part of the campaign, said he was "delighted".

There had been concern that if charges were introduced churches could have been forced to reduce services to community groups or raise their rates.

Rev Stein added: "Since the introduction of exemptions and reliefs more than half a century ago it has been recognised that charities and churches play a vital social role, a situation even more strongly relevant now with the increasing reliance placed by the Scottish Government on these bodies to deliver and supplement social services.

"It is therefore good news that we can continue to perform this role to the best of our ability."