A charitable trust set up to manage Derby's museums and art galleries has launched, shifting responsibility away from the local council and gaining £1.39m of Arts Council England funding.

The Derby Museums Trust, whose charity registration is currently pending, now manages the Derby Museum and Art Gallery, the Silk Mill Museum and Pickford's House Museum. A 30-year lease agreed with Derby City Council, which retains ownership of the £64m worth of buildings and collections, was signed on 1 October. The Trust itself formally launched on 2 November taking responsibility for the museums' 50 staff.

Law firm Winckworth Sherwood was appointed in 2011 to conduct an options appraisal on behalf of the Council, and the firm submitted a report to members last autumn. The transfer process, including TUPE, has taken twelve months to implement. 

Stuart Gillis, executive director of Derby Museums Trust said: "This is a very exciting step for Derby's museums...There are attractive financial benefits of trust status, including greater tax and VAT relief, gift aid and new opportunities for corporate donations and sponsorship as well as lottery and other charitable funding."

Arts Council England (ACE) assumed responsibility for museum and library development in October 2011 following the abolition of the Museums, Libraries and Archives Council. Between 2011 and 2015 ACE is to invest £1.4bn of public money from government and £1bn from the National Lottery.

In October ACE announced an award of £1.39m for Derby Museums through its Renaissance strategic support fund for 2012/13. The funding will be used to develop a new enlightenment gallery at Derby Museum and Art Gallery, as well as for income-generation and a volunteer recruitment programme.