CULTURE Secretary Fiona Hyslop has been cleared of claims she broke government rules when she handed £150,000 of taxpayers' cash to the T in the Park pop festival.

Public spending watchdog Audit Scotland said there was a "clear rationale for the grant" and found Ms Hyslop acted within the official guidelines.

In a letter to an MSP who complained about the decision, the watchdog confirmed the government had the legal authority to make the payment and had "taken steps to confirm that the money was spent in line with the grant conditions".

However, it warned the "robustness and internal clarity" of similar decisions in future could be improved and made a series of recommendations.

The grant was linked to the cost of gaining planning permission for T in the Park's move to a new site near Auchterarder, Perthshire.

But Ms Hyslop faced criticism after it emerged she was aware the festival's organisers, DF Concerts, had made a profit of £6.2million that year.

The grant also became mired in allegations of cronyism after The Herald revealed a meeting between concert bosses and Ms Hyslop was facilitated by an former aide to Alex Salmond and SNP Holyrood hopeful, Jennifer Dempsie.

Conservative MSP Mary Scanlon accused Ms Hyslop of showing "contempt" for the Scottish Parliament when she was questioned by a Holyrood committee.

In a written response to the MSP who referred the matter, an Audit Scotland official wrote: "There was a clear rationale for the grant at the point at which the Scottish Government committed to provide the grant to DF Concerts.

"The outcomes and milestones against which progress was to be monitored are also clearly articulated in the award letter.

"The Scottish Government had the legal authority to make the grant.

"The decision to award the grant to DF Concerts was a legitimate policy decision for the cabinet secretary, and was consistent with advice she received from Scottish Government officials.

"There was also budget provision for the grant, within the Culture and European Affairs budget, Major Events and Themed Years.

"There is also evidence that Scottish Government has taken steps to confirm that the money was spent in line with the grant conditions through its review of the final report provided by DF Concerts and related invoices."

A Scottish Government spokeswoman said:

"The Scottish Government was happy to support Audit Scotland in its review of the funding provided to DF Concerts to aid the transition of last year's TiTP event to its new site.

"Audit Scotland 's findings support the position that the Scottish Government has stated throughout, that the decision to provide a grant was supported by a cl?ear rationale with clear outcomes and milestones? and was a "legitimate policy decision".