An alarm sounded inside the Peel St hotel in Tamworth about 1am on Friday.

Security alerted a staff member who discovered the bar had been broken into and called police.

The break-in was captured on CCTV and investigations led police to a room in the hotel where a 46-year-old was arrested.

Police allege the man was found in possession of goods stolen from the bar.

He was charged with break, enter and steal and was refused bail by Tamworth police to front court later this month.