The Lighthouse handed over to Administrators
The chair of the board of The Lighthouse has said that she is 'heartbroken' at the decision to call in administrators and said that the board had done 'everything possible' to avoid the situation.
Eleanor McAllister OBE said that the options were 'very limited in the current economic downturn' and that they had no choice but to place the centre for design and architecture into administation.
“When I was asked to chair the Lighthouse Trust Board, I had hopes we could find a way ahead after the significant losses incurred in mounting the critically successful, but expensive, Venice Biennale project, and the government decision not to fund a second Six Cities Design Festival.”
McAllister took on the role of chair of the board 18 months ago, but has seen debts mount, with it now reportedly owing around £300,000 which it is understood the Scottish Government will pay.
The administrators will now investigate all options to determine if a sustainable economic structure can be delivered that will enable The Lighthouse Trust to continue its existing role and fulfil any immediate commitments.
It is also understood that the centre will remain open for business while the position of The Lighthouse is assessed.
McAllister continued: “Last year, with additional support from our main funders, the City Council and the Scottish Government, we put a crisis package in place to secure our immediate future and to enable us to continue our educational and exhibition programmes at both within and beyond The Lighthouse.”
“That new package was very dependent on maintaining the income generated from our commercial activities. The Lighthouse business model has always required commercial income to subsidise its extensive programme. No other gallery in Scotland has to generate such a high percentage of its income from commercial sources and the Lighthouse has been very successful at that in the past. However, the extra income we needed from rents, grants and conference and events just did not materialise as businesses, organisations and charitable trusts cut back on their activities when the credit crunch hit and the recession deepened. The Lighthouse, already in a vulnerable position and with no reserves to call on, has not been able to rally.
“The Board hopes that the Administrator, working with ourselves, the City Council as owners of the Lighthouse building and the Government as the major funder, will be able to get a resolution that ensures the future of this early Mackintosh building, so important to Glasgow's architectural heritage. We also hope to protect some of the Lighthouse's key activities and exhibitions, and to maintain public access to the building. Most of all, we hope to find a way for The Lighthouse to continue in some way to fulfil its vital role as Scotland's National Centre for Architecture, Design and the City,” concluded McAllister.
As rumours began to circulate of its impending administration yesterday, Simon Farrell, chairman of the Design Business Association Scotland, commented: “From a professional and personal point of view I think this is very sad news. The Lighthouse has acted as a beacon for Scottish design and architecture over the past few years and it will be a real shame to see it go. I sincerely hope the board can find a way to keep the light shining."