The Lighthouse, Scotland's centre for architecture design and the city, has been forced to call in administrators after admitting that it was unable to offset increasing losses due to the recession.

Located in Glasgow, the Lighthouse Trust was established in 1999 to provide advice to the Scottish Government on architecture policy at both national and local level, as well as contributing towards strategies for the creative industries. After reporting a turnover of £5.3m in the last financial year, the trust has been severely affected by a reduction in commercial activities and is likely to see a net deficit for the 2008-09 financial year despite securing a funding package from Glasgow City Council and the Scottish Government last year.

Eleanor McAllister, chair of the Lighthouse Trust's board, said: "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. "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."

Bruce Cartwright and Laurie Manson of PricewaterhouseCoopers have been appointed as joint administrators of The Lighthouse.