Jobs have been lost after the closure of a Fife hotel due to a “perfect storm” of financial pressures.
Lomond Hills Hotel in Freuchie has closed with its parent company, Highlander Hotel Ltd, in liquidation. All 17 staff have been made redundant.
The hotel was hit by cash flow issues following the pandemic and cost-of-living crisis.
That meant the business was unable to continue trading.
Ken Pattullo and Kenny Craig of Begbies Traynor have been appointed as joint liquidators.
‘Challenging winter season’ for Fife hotel
Thomas McKay, partner at Begbies Traynor in Scotland, said: “Like many boutique hotels in small villages, the Lomond Hills Hotel has experienced very difficult trading conditions during the challenging winter season.
“Facing a perfect storm of financial pressures, the directors, in consultation with the business’ lenders, made the decision to enter liquidation. The hotel was no longer able to trade.
“We are currently working with local government bodies to support former employees by ensuring they receive appropriate redundancy advice.”
The converted coaching inn in Freuchie dates back to 1733.
It has 24 bedrooms as well as a restaurant, a public bar and a leisure centre, and was a popular wedding venue.
The liquidators plan to appoint agents to present the hotel for sale in early spring.
“We hope that it will again be able to operate in the hands of new owners,” Mr McKay added.
The liquidators are assisting workers who have lost jobs by helping them to register any claims to the redundancy payments office.
Conversation