The Cary Arms is a chic little inn that hovers above Babbacombe Bay with views of sea and sky. But it’s not like other inns. Its determination to spend money creating the lap of luxury is matchless. This explains the spectacular new suites and beach huts that have recently taken root in the garden. Walls of glass frame the view, bedrooms look out to sea, bathrooms with walk-in showers are hard to beat. Best of all is your terrace, meters from crystal clear waters, with views that stretch for miles. Don’t expect to move too far, though the small spa with treatment rooms and a hydrotherapy pool is hard to resist. As for the inn, you can eat fresh seafood on terraces that drop downhill towards a small jetty where locals fish. The pub has six moorings in the bay, you can charter a boat and explore the coast or hire kayaks for fun on the water. Inside, you find stone walls, wooden floors and a fire that burns every day. Rooms in the house have a New England style, all but one with a private terrace or balcony. Excellent bathrooms come as standard, one has a claw-foot bath that looks out to sea.