Right guys few places to stay.
If you like camping then Ullswater is around 4-5 miles from Penrith. There are lots of campsites around here few below.
Parkfoot
http://www.parkfootullswater.co.uk/
Waterside
http://www.watersidefarm-campsite.co.uk/
Parkfoot is the best so I would contact them if interested.
If you like staying in hotels/B&Bs there are plenty to choose from as well.
North Lakes Hotel and Spa
http://www.northlakeshotel.com/
Im a member here and it is lovely but can be pricey
Travelodge
http://www.travelodge.co.uk/hotels/218/Penrith-hotel
Brooklands guest house
http://www.brooklandsguesthouse.com/index.php
Norcroft
http://www.norcroft-guesthouse.co.uk/
Abbeyhouse
http://www.abbeyhousebandb.co.uk/finding_us.html
Crosby
http://www.crosbybandb.co.uk/
Glendale
http://www.glendaleguesthouse.com/
Bankhouse
http://www.bankhousepenrith.co.uk/
There are plenty
Hope this helps