THE FORMER owners of a prominent now-closed Machynlleth hotel and restaurant are set to step in to rescue the business after it went into receivership with debts believed to be over £1m.

The historic Wynnstay Hotel on Heol Maengwyn has been closed and staff laid off since late December.

It went into receivership in early January, but Charles and Sheila Dark - previous owners of the hotel between 1998 and 2008 - are confident of a “rescue package” that will see the hotel re-opened in February.

Mr Dark told the Cambrian News that he was “hopeful” for the re-opening, subject to finishing the final steps of the financing of the sale.

“It’s a great shame that it is currently closed, but we are now planning to come back and relaunch it,” he said.

“It will be hard work, but this place is terribly important to the town and the whole Dyfi Valley, and we are looking forward to the challenge.”

Residents had raised concerns over the hotel’s sudden closure, with confusion caused by the hotel’s website saying it will reopen on 1 February and is currently closed for an “annual break”, but a sign on the door of the hotel saying it is closed “until further notice”.

Machynlleth councillor Michael Williams said residents in the town were keen to know what was happening because of the importance of the hotel to the town.

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