Hotel used my card details

We booked hotel through search site for a wedding, pay at hotel. Few weeks later hotel phones and says received booking but need card, I check that it’s pay on arrival and women says yes just for security. So I give details. I get call back an hour later and says hotel want payment now or increase cost by couple of hundred. I note slip I have for pay on arrival and hotel say won’t honour that so up price or they will just cancel it. I say just cancel it.

Fast forward 3 months I book again through with my wife’s debit card through PayPal (diff to last one) search site get good deal and few weeks for wedding so take a prepaid deal. Arrive at wedding stay weekend come home. All good.
Then I see £400 off my account, confused all prepaid, wife left her card for preauthorisation and paid everything in cash. Call bank say it’s hotel, call hotel they confirm no outstanding money and it’s my wife’s account details they have but can’t say why and I didn’t authorise my card or use it at all - if any hidden charges would have been wife’s card.
Lots of back and forth hotel find payments are from them and they don’t know why. Then they find a member of staff recalled the booking they cancelled and charged us half as after date socpit no show. Apologise and will look to sort whilst we remain out of pocket. I get they have admitted error eventually but I still can’t work out how they had my details or authorisation to take money. Hotel says that they recorded he first call and keep details for 6 months then made mistake recalling it. I say under gdpr they didn’t not accept the first booking and they cancelled it so why keep my details and they can but admit mistake taking it. How can they justify keeping card details for booking they never took and then process a payment without my authorisation? Am I wrong that this seems unnecessary holding of my bank card details and this error should’ve be possible
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