Perhaps it’s apt for a British man like myself on holiday in central Victoria to start the trip at Hanging Rock — the setting of Peter Weir’s classic film Picnic at Hanging Rock, which explored the dangers and mysteries of wild Australia, through the eyes of those foreign to the country.

That said, things aren’t so wild and mysterious anymore at the base of the six million-year-old rock formation — there’s a $10 parking fee, visitors' centre, and a little shop sells tea and scones. Picnics are positively encouraged in the sprawling park.

The trek to the summit is surprisingly short, but once you’re there you can understand what inspired the story of lost girls. Even with the path clearly etched out, the rock formations hold a certain maze-like quality. It’s easy to get a little lost, and feel far away from the world. And from the top, the views are without parallel. The farmlands of the Macedon Ranges appear to stretch endlessly, the sun beats down and the air is crisp and cold.

Hepburn Bathhouse & Spa

But it’s not the volcanic rock that is the area’s main attraction, but rather an even more marketable natural attraction. Just a half hour drive down the winding country roads you reach the picturesque town of Hepburn, where manicured hedges line the roads and mineral springs dissect the valleys.

Hepburn, and the neighbouring town of Daylesford, are built over a cluster of natural mineral springs. Some earnestly believe the warm, mineral rich waters have health-giving qualities, while others probably just find it enjoyable.

At the heart of Hepburn is a historic bathhouse, built in 1895, and renovated at huge expense ($10.6m) in 2009. The new architecture opts more for a sleek aircraft hanger-look than any attempt to keep a quaint historical feel. Steel funnels protrude from the ground, with steam wafting out while inside the 32C heat of the immaculately clean pool, bathers look out at the scenery.

Entrance is $27 for the most basic pool — although the price skyrockets if you choose the upgraded “Sanctuary” option ($59 on weekdays) where you can lounge on a metallic bed inside another pool and get pummelled by water jets, spurting 50% mineral water from the springs.

More expensive still is a dip in one of the private baths ($115). Set in darkened rooms and with enough space to fit two top-to-tail, these run 100% mineral water, which changes colour day to day (on this day it is a foggy brown). It’s a very relaxing way to spend a chilly afternoon, if not the most expensive set of baths you’re likely to have in a lifetime.

The Argus Dining Room & Peppers Mineral Springs Hotel, Daylesford

We stay at this cozy hotel – a converted 1930s guesthouse – which boasts warm fires, its own spa, and an incredible dining room, serving fresh meat from the owner’s adjacent farm.

Sat by the open fire, we’re served for dinner an array of delicious and beautifully presented food. A beetroot salad with pumpernickel, apple, buttermilk and wildflowers is an incredible, subtle array of texture and looks more like a piece of contemporary art than a meal. The Hampshire Down lamb loin, served fresh from the farm is cooked with Arabic spices and is packed full of flavor. The winner though is the side of cos, peas and bacon dressed with Vegemite butter – I’m very much in the Marmite camp but this came close to inducing a change of citizenship for my tastebuds.

It’s fine dining, and not unreasonably priced – around $80 a head for two courses and wine.

We stay in one of the spa lodges at the back of the hotel. They are luxurious and spacious, each with their own fire and incredible views of the wintery fields behind ($435 a night, although rooms in the main hotel are cheaper.)

Around town

When all the bathing has turned your fingers to prunes, there are plenty of other diversions to keep busy. It’s a touristy pair of towns, where the population swells on weekends and most small businesses, on the main drags at least, seem geared towards the visitor dollar.

There are a range of exhibitions held at the Convent Gallery, a regional gallery housed in a terrific old nunnery and school, on one of the highest points in Daylesford. Admission is $5, and you can either explore the museum-like sections of the rambling old building, climb the creaking stairs to the top of the tower, or take in the art.

We have lunch at Wombat Hill House, a sweet local café in the Botanic Gardens that does an excellent share platter of mostly-locally sourced meats, dips, pickles and cheeses ($19 a head). Even after a light constitutional around the gardens — wet green grass and yellow leaves in abundance — we’re still feeling stuffed and satisfied.

We continue trying to walk off the indulgence at Lavandula ($4 entrance fee), an old Swiss Italian lavender farm just beyond the edge of Daylesford. An old stone farmhouse gives way to small fields thick with green and purple bushes. The smell is sweet and the sight beautiful, making for a pleasantly quiet oasis from the bustle in town.

Away from the chilly outdoors Dayleford’s vintage antique shops make for a fun way to spend the afternoon. The Mill Market, just outside of the main drag, is a warehouse full of stalls, from jewellery, to magazines and all things in between. It’s free to get in and worth a wander even if just to soak up the diverse array of things on sale.

Another spa ritual

The industry that has developed around the mineral springs is not just about bathing, of course, but also about the more modern, luxury spa treatments.

I’ve never tried anything like it before, and approach my "masculine designed" spa treatment at Pepper’s own inbuilt facilities, with scepticism, trepidation and, if I’m honest, a little fear. The small pair of disposable paper underwear I’m handed on arrival does little to dissipate this.

But after being smoked, salted, oiled and then rinsed I do end up feeling pretty refreshed. It’s not cheap though — $240 for two hours.

• Guardian Australia was a guest of Tourism Victoria.