Four Britons accused of starting Magaluf hotel blaze are freed on bail – but banned from leaving the island unless they pay £26,000

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The four Brits arrested over a massive fire at a Magaluf hotel have been released on bail after appearing in court - but banned from leaving the island until they stump up  £26,300 between them.

They have been told they will be given their passports back only when they hand over the cash.

A duty magistrate took the decision after quizzing them at a court in the Majorcan capital Palma.

James Brown (left) and Brandon McCahill arriving at court in Palma Majorca. They have been released on bail but can't leave the island until they find the money 

Their co-accused Lauren Smith and Georgia James also made an appearance 

A court official said after their appearance behind closed doors: 'The head of the Palma Court of Investigation Number 12, acting as a duty court ordered the release on bail of the four people arrested over a fire in Magaluf.

'The judge confiscated their passports and imposed a civil liability bond of €30,000  to be paid mutually.

'If they pay the money they will have their passports returned to them.'

Respected local paper Diario de Mallorca said all four - named locally as Brandon McCahill, 21; James Brown, 21; Lauren Smith, 19; and Georgia James, also 19 - had claimed they were on the balcony smoking, chatting and drinking when the room began to burn.

The paper said they only found out the room at the BH Mallorca Hotel was on fire on Sunday evening when they heard a woman screaming. 

McCahill (right) and Brown claim they were smoking on the balcony when the fire started

Footage from the scene shows smoke billowing out of the front door of the affected apartment

Police said they believed the four holidaymakers set light to the room after trying to wake up a pal who was asleep on the bed by burning his feet using an aerosol and a lighter.

Court officials who confirmed the release on bail of the four holidaymakers were unable to comment on the detail of the tourists' responses to the judge's questions.

The criminal probe will now continue before a decision is taken on whether the Brits should face charges.

It was not immediately clear if they had managed to find the money to get their passports released.

Brandon is a keen amateur footballer from Consett, County Durham, now thought to be living in Newcastle.

The left-footer is the star of several YouTube videos where he can be seen showing off his skills on an indoor five-a-side pitch as well as outside on a full-size pitch.

He describes himself on social media as single and admits to being a fan of LADbible.

One of his recent Facebook posts, titled 'Ahhh living the life' shows a man lying face-down on the floor with his bare bottom exposed and his trousers round his ankles.

James Brown, known to friends as Jay, is also believed to be from the same town in County Durham as Brandon.

It is not known where in the UK the two teenage women are from.

The BH Mallorca Hotel in Magaluf went up in flames on Sunday evening around 8pm.

A spokesman for the Civil Guard, in a statement confirming the arrests of the four Brits, said: 'Firefighters, local police and Civil Guard were mobilised on Sunday evening.

'Once they reached the hotel they saw flames leaping from one of the rooms via the balcony and saw the blaze was affecting other parts of the complex.

'Realising the lives of people staying at the hotel were in real danger, more than 100 guests in the block affected by the fire were evacuated.

'Civil Guard investigators began probing the case of the fire.

Flames can be seen licking up the side of the building and reaching as high as the veranda above

'After interviewing several witnesses they discovered that in the room where the fire started there were two women and three men, that one of them was asleep and that the other four were bothering him using a lighter and an aerosol on his feet.

'Specialists from the Civil Guard Criminalistic Laboratory subsequently confirmed the fire had been started and situated the seat of the fire at the end of the mattress.

'The fire completely destroyed one room and affected others.

'Experts are still evaluating the cost but it will be in excess of 200,000 because of the repair work, cleaning and losses that will be caused by rooms being out of action and possible compensation that will need to be paid to those holidaymakers affected by the fire.'

The BH Hotel Mallorca is a popular choice with British holidaymakers and is rumoured to have sustained around £125,000 worth of damage

Two floors of the hotel to be evacuated - and seven tourists trapped on balconies rescued by firefighters - after the fire broke out.

The damage caused by the blaze was initially estimated at around €125,000 before the new increased estimate made public by police.

Footage from the scene showed terrified Brits running for their lives as thick black smoke and flames engulfed one of the apartments.

Holidaymakers could be heard screaming to others 'Get out' over the sound of breaking glass.

No-one was badly hurt in the drama, although several people including three Civil Guard officers had to be treated for smoke inhalation.

Firefighters, who used extendable ladders to bring several holidaymakers to safety, have been praised for their speedy actions.

Local reports said the four Brits held over the fire were drunk at the time.