THE landmark Scotch Corner Hotel near Richmond, North Yorkshire, has been taken into administration.

It was announced on Wednesday evening that the distinctive red brick hotel, which employs about 50 people, has been taken over by chartered accountants BDO Stoy Hayward.

The firm has taken charge of the entire Real Hotel Company, which owns 40 hotels across the country, including Scotch Corner.

A spokesman for BDO said it was too early to say whether any jobs would be lost at Scotch Corner, but confirmed that four other Real Hotel Company hotels would close, with the loss of 150 positions.

The 90-bedroom hotel, located at a major road intersection where the A1 meets the A66, has long been a meeting point and place of rest for travellers from north, south, east and west.

It underwent a £1m refurbishment in 2007.

Shay Bannon, business restructuring partner at BDO Stoy Hayward, said that the hotel group would be marketed for resale.

“The Real Hotel Company has experienced deterioration in trading during the last quarter of 2008, with this trend accelerating into the first two weeks of January, which resulted in severe cash flow pressures.

“It is regrettable that we have had to close a small number of hotels, but we continue to trade a significant number of hotels with the support of stakeholders and will be actively marketing the group for sale.

“We have already received several expressions of interest and are confident of a successful outcome which will save a significant number of jobs.”

A regular hotel guest, who did not wish to be named, said: “It’s a real shame as Scotch Corner is such an iconic landmark.

“I really hope it can stay open and that no jobs are lost.”