I think I figured out what happened. <img src="/ubbthreads/images/graemlins/shame.gif" alt="" />
I had edited this character with t-search (memory hacker) earlier and upped his attributes to arount 250. When I lowered them back where they should have been I had no problems upgrading skills in the battle grounds at the end of the game.
Go ahead shoot me now! put me out of my misery.
But beware as I am a dispenser of financially assisted death. <img src="/ubbthreads/images/graemlins/biggrin.gif" alt="" />
(I loved that book in the temple area)