£26 million funding deal will help transform iconic 150-year-old Scottish hydro hotel

One of Scotland’s most famous hydro resort hotels is undergoing a major refurbishment as part of a multi-million-pound investment programme.

Apex Dunblane Hydro Hotel is to see one of the most significant transformations in its 150-year history, with the investment delivering upgraded guest rooms, a revamped leisure club and entirely re-modelled restaurant, bar and public spaces.

Barclays has agreed a £26 million funding package with family-owned Apex Hotels to support the refurbishment of the iconic Victorian hotel and investment across the Scottish hospitality group’s wider portfolio.

An exterior view of the historic Dunblane Hydro resort hotel in Stirlingshire.

Founded by the Springford family, Edinburgh-based Apex Hotels is celebrating the 30-year anniversary since the opening of its first hotel, in the Grassmarket, Edinburgh. These days, it operates a portfolio of hotels in key UK destinations.

Managing director Averil Wilson said: “As a family-owned business, we take a long-term view of our properties, our people and the communities in which we operate. This investment marks an important milestone for this truly iconic property and reflects our confidence in the future of Scottish tourism.

“Barclays has taken the time to understand our plans and has worked closely with us and our advisers as the project has developed. That support is helping us complete the refurbishment, bringing Dunblane Hydro back to its former glory at the heart of the local community.”

Gordon McKean, relationship director, Barclays Corporate Bank, said: “Apex Hotels is a successful family-owned Scottish business with an experienced management team and an impressive track record of investing in its people, properties and local communities. We understand the business and share its long-term ambition for Apex Dunblane Hydro and the wider group.

The restaurant area of the Dunblane Hydro.

“A project of this scale needs funding that can adapt as work progresses. We’ve worked closely with Apex Hotels and its advisers throughout the refurbishment, giving the team the financial flexibility and time needed to complete the investment and establish the transformed hotel.

“This is about more than refurbishing a building,” he added. “It’s an investment in a landmark Scottish hotel, local jobs, tourism and the future growth of a well-established family business as Apex celebrates its 30th anniversary.”

Barclays said its support for Apex Hotels formed part of a wider commitment to back UK business growth. The banking giant’s Business Prosperity Fund is available to new and existing business customers and UK corporate banking clients for lending and refinancing on eligible projects, as part of the group’s £22 billion lending commitment for 2026.

The pledge comes as hospitality and leisure businesses continue to invest despite a challenging backdrop, amid ongoing cost-of-living and inflationary pressures.

Barclays’ 2026 Hospitality & Leisure report, based on anonymised client data from 73,000 UK businesses, research with some 500 industry leaders and 2,000 consumers, found that more than half (51 per cent) of businesses in the sector plan to expand over the next three years, while 65 per cent are increasing investment in “experience-led” offerings. The study also found that 88 per cent of firms are confident about their prospects over the next year.

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