Indeed- but its still a quality vs quantity debate. The RAE was divided into areas, 68 in all, and Manchester, followed by Oxbridge, then Birmingham/Glasgow submitted to the most areas, effectively spreading their resources thinner. Edinburgh have directed theirs towards around a dozen areas less, and got generally better scores for it. I'd imagine if Manchester were allowed to jettison 15 subject areas and use that money to improve the other 40, they'd post a better 'average' too- ditto Birmingham, Glasgow and Leeds (and three of these four have 35000+ students, vs Glasgow and Edinburgh's 22,000 or so). Glasgow and Edinburgh have broadly the same income and research activity- Glasgow's is spread thinner, Edinburgh employ lots of researchers in certain specialist centres, and don't get me wrong, have deservedly done very well. I'm not taking issue with this- more with the way the table reflects it. For example, Glasgow and Edinburgh are head to head in 34 RAE areas, and Glasgow is ahead of Edinburgh in four more than Edinburgh tops it in, but while some areas are, for argument's sake 2.75 vs 2.6 (History) in Glasgow's favour- others are 3.00 vs 2.45 in Edinburgh's favour, thus giving them a higher average. Its all about how you interpret the statistics- I don't believe you can take multifaculty institutions and compare research in such a broad way, and a university which either teaches or leads in many areas is relegated downward because of a lesser average. This is particularly pertinent with Aberdeen- it teaches a wide range of subjects on a lower budget with less students than Glasgow or Edinburgh, is located so far north as to struggle to attract thousands of top students consistently, and ends up just inside the top 50. I think anyone thats had any experience of Aberdeen would say there's very little difference between it and the other ancients- certainly not 20-40 places in a journalist's table.
Also, on the point of expenditure- lots of this comes through five and ten year plans- only what was spent last year count on this though. The effect of this is a yo-yo of sorts, as money comes and goes and universities can look better or worse, where in reality they haven't exactly changed overnight from a week before the table was published. Nottingham, when it was spending money and investing, was around the top 10. Now it is 10 places lower because the money has been invested, and now doesn't need to. But is it a lesser university because the money wasn't spent last year? Of course not. Prof Andrew Oswald of Warwick has been scathing of these tables, and with good reason too, if anyone wants to kill a few minutes- read his articles.