A father and grandmother to two young children have been arrested on suspicion of kidnap and attempted child abduction.
Police had appealed for information after two-year-old Na'llah Khan and her 10-month-old brother Sulailman Khan were taken from a hotel room in Stoke-on-Trent on Friday.
But the children were found safe and well in a guest house near Derby town centre at around 7pm today.
Their mother and wider family have been informed and the youngsters are being supported by specially trained officers before being re-united, police in Staffordshire said.
The children's father, Saleem Tahir, 40, and 67-year-old grandmother, Denise Smith-Sellars, both from Nottingham have been arrested on suspicion of kidnap and attempted child abduction.
The pair have been taken into custody where they will be interviewed by detectives.
More top news
Up to 13 people are reported to have died and dozen of others were injured after the coach crashed into a tractor trailer near Palm Springs.
The Birds of a Feather actress was eliminated in the dance-off after the judges voted to save model Daisy Lowe.
The party faces a new contest after its former leader resigned after just 18 days - and this time it's shaping up as a beefier fight.