A Lake District hotel has been bought out of administration by a Thai-based firm, securing 32 jobs.

The Hydro Hotel, in Bowness, has been acquired by the Lake Merritt Group.

The 78-bedroom Helm Road hotel was bought by Squires Hotels in 2014 for almost £3.75m but struggled with cashflow issues following a £1.7m renovation project.

Phil Pierce and Paul Whitwam, partners at FRP Advisory, were appointed joint administrators in February.

The new deal has been brokered by Colliers International, who acted on behalf of FRP Advisory.

The deal secures the jobs of the Hydro Hotel’s 32 employees, and all bookings will be unaffected.

Mr Pierce said: “We worked closely with all parties to secure the sale of the Hydro Hotel, and the acquisition is the best possible outcome for everyone involved.

"Not only does it guarantee that people’s holidays, weddings and events can go ahead, but it also saves a significant number of local jobs.”

Built in 1985, the former manor house also has conference and events facilities, a heated swimming pool, restaurant and a ballroom that can seat up to 150 people.

A Lake Merritt Group spokesman said: “The Hydro is an exciting addition to our fast-growing portfolio. We have identified significant opportunity for development within both the grounds and the hotel itself. We are confident our developments will reposition this great hotel within the strong Windermere leisure market.”