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Hotel charged me for cancelled reservation - can I get my money back?

I booked into a hotel in York using their website. The terms and conditions say that I can cancel the booking within 4 days of arrival. I rang them and got no reply, sent an email to the address on the website to cancel - all in good time. A few days prior to the booking half of the total amount was taken from my account. I phoned again and eventually spoke to someone (english not their first language) who said they would let the owner know. As I was in york I called at the hotel several times and no-one was around to ask. They have now taken the rest of the money from my account. I managed to get hold of the owner of the hotel who said he would have a look at his emails - as yet nothing has happened.
Is my money lost? What can I do to get it back?

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