Dutch police have found €12.5m in cash hidden in a secret space in a terraced house in Eindhoven in what they say is the biggest cash haul ever made at a single location in the Netherlands.

The money, in notes of up to €500 weighed a combined 255 kilos. The raid also netted two guns, a telephone which used encryption technology and a cash counting machine.

The 35-year-old resident has been arrested on suspicion of money laundering and remanded in custody for 14 days.

Police have not said how they came to find the money because the investigation is ongoing or exactly where in Eindhoven the house was located.

Last year Amsterdam police recovered €12.8m in cash from five separate addresses. In that investigation, seven people were arrested and charged with drugs offences.