Hi, I'm not sure whether this advice counts for all funding bodies but here goes...The PhD advertisments within my department all state that a minimum of a 2(i) is required. This is not just to ensure the best candidates it is a regulation of many of the funding bodies. This happened within my dept. when one of the profs wanted to give a PhD place to a 2(ii) candidate as he was very good but the funders would not allow this. However, a masters degree does help and as stated above, 2(ii) plus masters is as good as any 2(i) degree in terms of competition. Hope this helps