Staff lose jobs as two prominent Blackpool hotels close

Blackpool's holiday industry has received a major blow after two prominent seafront hotels suddenly shut unexpectedly.
The Lyndene Hotel on Blackpool promenade, as well as the St Chad's Hotel, have closed and staff have lost their jobs.The Lyndene Hotel on Blackpool promenade, as well as the St Chad's Hotel, have closed and staff have lost their jobs.
The Lyndene Hotel on Blackpool promenade, as well as the St Chad's Hotel, have closed and staff have lost their jobs.

The closure of the Lyndene and St Chads hotels on Blackpool Promenade has also meant that 80 staff there have lost their jobs without receiving their final wage payments.

Employees found out on Tuesday (February 2) that their employment had terminated and would not be receiving their final wage packets or furlough payments.

Hide Ad
Hide Ad

It is understood both hotel businesses have been dissolved due a breakdown in negotiations between the landlords Fragrance, a Singapore company which owns the buildings, and UK-based Bespoke Hotels, which owns the business.

Bespoke has been negotiating for the past year to restructure rent to enable the business to keep trading, but the inability to agree terms meant the business had become insolvent.

The developments have sent shockwaves through the Blackpool hotel industry, as the two hotels were seen as two thriving success stories.

Claire Smith, president of hoteliers group StayBlackpool, said: "It is such a shock because these were two very successful an well-run hotels on the promenade.

Hide Ad
Hide Ad

"It is terrible news for the staff, it is just appalling they have lost their jobs and won't get their final wages.

"It is also bad news to have two prominent hotels lying empty on the promenade. it doesn't take long for large buildings to deteriorate.

"The Lyndene would always be one of those hotels that stayed open in winter, when most of the other were shut, and you could see the lights on and the entertainers performing when you went past.

"It is just terrible new, especially when the industry is going through such a tough time with the pandemic."

Hide Ad
Hide Ad

It is understood that staff were informed of the news by Bespoke Hotels Chief Operating Officer (COO), Graham Marskell,who called them into a meeting via social media platform Zoom.

The pandemic lockdowns are also believed to have played a role in the difficulties at the two hotels, both of which were run independently while being part of the wider group Bespoke Hotels Goldie, which continues to trade.

Fragrance first bought the buildings for Lyndene and St Chads, which together have a total of 141 guest rooms, in 2017 in a £5.25m deal.

Bespoke have confirmed the individual companies that ran St Chads, Lyndene and other hotels outside the town have been dissolved and that no monies can be moved out of those companies, meaning wages and severance cannot be paid to employees who will now have to apply to the government insolvency fund.