A fully-booked Taylor Swift-themed holiday club for children quickly became something “like a horror movie”, witnesses to the deadly stabbings in Southport have said.

The activity was advertised as a dance and yoga workshop as well as bracelet-making, with social media posts promoting the event as “open to children in Year 2 to Year 6”.

The class, held at the Hart Space in Hart Street, was run by a Southport-based business called Enlighten, which describes its workshops as “providing yoga, mindfulness, breathwork, meditation and relaxation for children” in the seaside town.

On Monday morning, while the activities were taking place, a taxi arrived outside the dance studio.

Witnesses spoke of seeing someone get out of the vehicle, wearing a black hooded top and a face mask.

Colin Parry, the owner of Masters Vehicle Body Repairs, which is stationed 50 metres or so from the dance studio, told the Guardian newspaper he saw the young man refuse to pay his fare.

Recalling his heated exchange with the youth, Mr Parry said: “He came down our driveway in a taxi and didn’t pay for the taxi, so I confronted him at that point. He was quite aggressive – he said ‘What are you gonna do about it?’”

He said the taxi passenger then walked out of the driveway of his business.

Witnesses told the Daily Telegraph that the hooded youth then made his way to the dance studio and entered through the front door, which was unlocked for fire safety reasons.

Screams were then heard coming from the building, after the suspect stabbed a number children in the room.

Witnesses said they saw around 10 children running from the scene, covered in blood.

Bare Varathan, 35, who owns a corner shop in Hart Street, said: “They had been stabbed, here, here, here (indicating the neck, back and chest area), everywhere.

“They were all aged about 10.”

As children ran from the scene, businessman Jonathan Hayes attempted to disarm the attacker, his wife Helen told the Daily Telegraph.

She said: “Our office is in the same building as the dance studio. He heard screams and went outside, saw the attacker, saw that he had hurt a child and tried to take the knife off him and got stabbed in the leg.”

A witness said another adult locked herself in a room with children to protect them.

Emergency services later arrived at the dance studio after receiving reports of a stabbing at 11.47am, describing the scene as “horrific” and “chaotic”.

One witness described armed police rushing to the scene and taking the suspect out of the building.

Another said a mother of one of the children in the holiday club pulled up outside the building, screaming.

The witness, who asked not to be named, said: “She was screaming ‘My daughter’s been stabbed’.

“It was a mum with her 10-year-old daughter who had been stabbed.

“I helped to get her back up to where the police cars and ambulances were.

“She didn’t look great but my focus was on getting her back up the street to get help.”

Repair shop owner Mr Parry added: “The mothers are coming here now and screaming.

“It is like a scene from a horror movie.”

Merseyside Police confirmed the attacks had left two children dead and nine other youngsters injured – six critically.

Two adults who attempted to protect the children inside are also in a critical condition.

Police said a 17-year-old boy has been arrested on suspicion of murder and attempted murder and remains in custody.