The scheme was launched in 2014 to provide £5 million over five years to independent search and rescue teams working on inland waterways and so far has helped 98 search and rescue charities, paying for 65 boats, launch vehicles, rafts, safety gear and other rescue team costs.
The Borders Water Rescue Team will use the money to buy a new boat, dry suits and other equipment to help them with their life-saving work.
Borders MP John Lamont said: “I am delighted the UK Government has recognised the fantastic work done by Borders Water Rescue Team. This financial support will allow them to continue their life saving work, not least keeping our riders safe when crossing water at common ridings and festival time.”