Police were called to the incident at a hotel on Lake Road, Ambleside at around 5:51pm today (Nov 5), the man was reported to have left the area following the incident and was seen heading to Windermere.
Officers arrested the man, aged 31, at a pub on Lake Road, Windermere on suspicion of affray and possession of a bladed article.
He remains in police custody.
During enquiries to locate the man armed officers carried out a search of a train at Windermere station.
Armed officers were deployed as a precaution. No one was injured during the incident.
