The national Gaelic arts agency, Pròiseact nan Ealan, again won the Arts & Culture award at the annual Gaelic awards in Glasgow last night – but this also marked the end of the Stornoway-based agency's existence.

The event, sponsored by the Daily Record & Bòrd na Gàidhlig, celebrates excellence across the language and this was the second year in a row that Pròiseact nan Ealan won this category.

The award celebrates the significance of World War One multimedia production 'Sequamur' which toured locally, nationally and internationally to widespread critical acclaim.  Sequamur is written by Shetland-based Niseach Donald S Murray.

However, it was a bittersweet night for the agency as it announced that, after more than 25 years of being at the forefront of Gaelic arts development, it will cease to operate next month.

Speaking after collecting the award Erica Morrison, Creative Director of Pròiseact nan Ealan, said:  "As an organisation we have always been committed to delivering high quality Gaelic arts, and we are delighted to receive this award in recognition of a wonderful piece of Gaelic drama which recognised such a significant period in the history of the Gael.

"However, we have found ourselves in a constrained financial position in recent times and, despite all our best efforts, the organisation will close next month.

"Pròiseact nan Ealan has been a major part of Gaelic arts development over many years, and I wish to thank all our supporters who have contributed to our numerous achievements."

Speaking on behalf of the Pròiseact nan Ealan Board, Catherine Macdonald (Chair) said: "Funding is a growing problem for arts organisations and, sadly,  Pròiseact nan Ealan are not immune from this. My thoughts are with the staff whose hard work and commitment to Gaelic arts has been validated once again by last night’s arts and culture award."

PnE's previous major landmark achievements included the St Kilda Opera which had Europe-wide acclaim and An Leabhar Mòr: The Great Book of Gaelic.