UPDATED THURSDAY 10:54*
AROUND 50 jobs have been lost at Gurnard Pines Holiday Centre.
Shocked staff were last night (Wednesday) told they were being made redundant on the orders of the business's funders.
The pool complex, gym, cafe and main building were in darkness but the self-catering units at the centre near Cowes on the Isle of Wight, were full of half-term holidaymakers.
One staff member told the County Press: "We were told at 5pm that we were all being made redundant and the business was shutting. The units are packed with people on holiday.
"It is a massive shock."
A spokesman for Portsmouth-based Rothmans Corporate Recovery said funders had ordered the redundancies but said the business was not yet in liquidation.
This morning (Thursday) Terry Prosser, of London-based Terry Prosser Accounting Solutions and a director of Gurnard Pines Holiday Village Ltd, said in a statement: "Gurnard Pines has been taken over by Gurnard Pines Holiday Village Limited on 31 October 2012.
"The holiday village is open for business as usual and I would like to assure anyone that had booked a holiday that their reservation will be honoured.
"We would like to say sorry to anyone that was inconvenienced for the facilities closing two hours earlier than normal on Wednesday evening so that the previous operator could have a full staff meeting but can confirm that facilities were re-opened the following morning.
"We have spent a long time working alongside the landlord and funders and believe we have a rescue package suitable to keep the doors open to keep the transition seamless to our owners, members and holidaymakers.
"I am confident that under the supervision of our new management structure the business will perform and will be looking to improve the facilities in due course.
"Gurnard Pines is a unique holiday destination and I would like to state that we are looking to the long term future and hope that anyone that stays there will recommend us to their friends."
But one staff member said thay had not been given any update about the situation and they had been told not to come into work today.
*Following enquiries by the County Press this morning (Thursday) Mr Prosser added: "Unfortunately I cannot comment on the previous employees as we are a new company and I would prefer to look forwards and build on Gurnard Pines previous good record for providing great accomodation and holidays.
"As a new operator we obviously now need to focus on employing key personnel.
"We already have a small team to manage the facilities and we have all pulled together to limit the disruption to our guests to just closing the gym and pool for one night.
"We would like to apologise for any inconvenience caused, but as you can imagine the old operator had to have a full staff meeting to break the news to staff of the descision that was made that day.
"All facilities are open this morning, the bar is open, the gym is open, the pool is open, existing functions, weddings etc will be honoured."