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The hotel considered to be Scotland's oldest has gone into administration.

The Salutation Hotel in Perth, described as Scotland's 'oldest established hotel', is said to have been facing operating challenges.

Run by Strathmore Hotels Ltd, the former 17th-century coaching inn is one of the company's eight properties.

The joint administrators appointed have said the hotels will continue to trade and the firm's total of 410 employees will remain in place as they review options for the business, BBC News reported.

The 17th-century Salutation Hotel has now gone into administration

The hotel describes itself as the oldest established hotel in Scotland, and during the 1600s was a private home.

It then served as a coaching inn from 1699 to 1745.

During the 1800s, it functioned as a key stopping point on the coach route from Glasgow and Edinburgh to Inverness and Aberdeen.

In the 20th century, it gained traction for its high tea, ballroom and Saturday night entertainment.

James Alexander Dewar and Alistair McAlinden of Interpath Limited were appointed as Joint Administrators of Strathmore Hotels Limited on August 11, 2026.

Alistair McAlinden said: 'The hospitality sector has faced a number of significant challenges in recent years, including rising operating costs, inflationary pressures, workforce shortages and changing consumer spending patterns.

'Unfortunately, Strathmore Hotels has not been immune to these headwinds and has also experienced sustained financial difficulties, resulting in the appointment of the joint administrators.'

The historic Perth property has been described as Scotland's oldest established hotel

He added: 'Our immediate priority is to ensure continuity across the business.

'We recognise that this news may be concerning for employees, customers, and suppliers.'

It comes after earlier this year, Europe's largest hotel operator Revo Group collapsed.

Revo reportedly declared insolvency due to the 'economic crisis', describing how 140 companies 'go into difficulties'.

It also stated a range of other reasons for its issues including wage increases and a rise in other operational costs including 'rent, energy and food'.