The Commission undertook a review of how seven works of art acquired in five transactions were outside the Tate’s legal powers, as express permission, usually from the Commission, is required when trustees receive monetary benefit from their charity. Though the Tate is an ‘exempt charity’ which reports to the DCMS rather than the Commission, it is still required to abide by charity law.

Though the Commission found that the acquisitions were in the interests of the charity and could stand – including paintings by Chris Ofili, Peter Doig and Michael Craig – it said its review of the Tate had highlighted deficiencies in the Tate’s policies, calling for “significant improvements” to be made.

The Commission’s chief executive Andrew Hind said: “Our review has identified some important gaps in the Tate’s policies and practices. In addition to the Tate’s failure to seek our permission, we also found serious shortcomings in the processes for managing conflicts of interest and inadequate recording of decision-making. In any charity we would be concerned that such basic matters were neglected, but in a charity of the size and stature of the Tate, we are very disappointed.”

The Tate has accepted the conclusions, and future purchases of art from serving trustees will pass by the Commission.

The Commission also said that it hopes to develop specific advice and guidance on good governance practice for charities in the arts sector in conjunction with the DCMS and Arts Council.