'Huge blow' for UK seaside town as hotel group pulls out of £6m deal

A council could be left high and dry with fears a hotel developer will pull out of a £6million investment on the Yorkshire coast.

Newcastle-based Inn Collection Group had previously planned to invest in a new 42-bedroom hotel and restaurant on the seafront at Coatham, Redcar, where tourism is a significant contributor. However, members of the scrutiny committee at Redcar and Cleveland Council were recently told the developer was "exploring alternative options", according to the Northern Echo. The combined authority has already spent £294,000 on remediating the land for the construction, so the race may be on to find another developer.