CAMPAIGNERS fighting to restore the Three Cups Hotel to its former glory have vowed this is just the beginning of their battle.

It comes as owners Palmers Brewery this week said there is ‘absolutely no hope’ of the Three Cups – which closed down almost 20 years ago – ever being a hotel again.

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The cost of redeveloping the Lyme Regis hotel ‘far outweighs’ the potential profit, an independent report has concluded.

An investigation by specialist consultants found there is an opportunity for a four-star boutique hotel in Lyme, but it would take millions of pounds to bring the building up to standard.

But campaigners from the Save the Three Cups as a Hotel Group say it is not over, and claim the report does show the Three Cups would be viable as a hotel.

The group’s committee attended a meeting on Monday to hear the results of the report by specialist hospitality consultants TRI.

Campaigners say they were told by TRI managing director Jonathan Langston that the hotel was viable as a business, but the problem was the cost of refurbishing the building.

Campaign group chairman John Dover said: “We certainly are not giving up and will now examine in detail the 102-page report produced by the consultants. There are still many questions to which we, and the people of Lyme Regis, deserve an answer.”

Nigel Jones of Chesterton Humberts, the property agents for Palmers, said: “We took the view initially it was unviable and we are very pleased the findings from the detailed report and investigation say the same thing.

“I expect the campaigners to be disappointed but I would hope they would look beyond their initial disappointment and understand the report has been independently produced and the conclusions are quite clear.