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The National (Scotland)
The National (Scotland)
National
Laura Pollock

East Kilbride-based hotel group with eight sites enters administration

The Royal Hotel in Oban is one of the sites across Scotland (Image: Getty)

A SCOTTISH hotel group which operates eight sites across Scotland and the north of England has entered administration.

Strathmore Hotels Limited appointed Alistair McAlinden and James Dewar of Interpath as joint administrators on August 11.

The East Kilbride-based firm owns and operates hotels including the Alexandra Hotel and Ben Nevis Hotel & Country Club in Fort William and the Ben Wyvis Hotel in Strathpeffer.

Its English properties are the Cairn Hotel in Harrogate and the Cumbria Grand Hotel in the Lake District.

A full list of the hotels affected:

  1. The Alexandra Hotel in Fort William
  2. The Ben Nevis Hotel & Country Club in Fort William
  3. The Ben Wyvis Hotel in Strathpeffer
  4. The Cairn Hotel in Harrogate
  5. The Cumbria Grand Hotel in the Lake District
  6. The Nethybridge Hotel near Aviemore
  7. The Royal Hotel in Oban
  8. The Salutation Hotel in Perth

Administrators said all eight hotels will continue trading while options for the business are considered.

Around 410 employees are being retained to support the sites during the administration process.

The company had faced sustained pressure from creditors for several months and was subject to a winding-up petition in July, Interpath said.

McAlinden, Interpath’s head of Scotland and joint administrator, said the hospitality industry had faced significant challenges including increased operating costs, inflation, staff shortages and changing consumer spending patterns.

The Ben Wyvis Hotel
The Ben Wyvis Hotel (Image: Google Maps)

He added: “Unfortunately, Strathmore Hotels has not been immune to these headwinds and has also experienced sustained financial difficulties, resulting in the appointment of the joint administrators.

“Our immediate priority is to ensure continuity across the business.

“We recognise that this news may be concerning for employees, customers, and suppliers.

“However, we would like to reassure all stakeholders that it is very much business as usual across the portfolio, and we encourage guests to continue visiting the hotels as normal while we explore the best possible outcome for the business.”

Customers have been told to direct queries to Strathmore Hotels through the usual channels.

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