The former Only Way is Essex star was seen leaving the Atlantic Thistle Hotel after spending the night together, reports the Daily Star.
The pair reportedly first met when Peters was working with Childs on a photoshoot, and recently swapped numbers after meeting each other again.
A source at the hotel said: "They seemed pretty loved up. They were drinking wine in Amy's room and were enjoying each other's company.
"They didn't care that they were seen together in the room on Friday night but next morning they came down separately, I guess to try to hide what they'd been up to."
An insider close to Childs stated: "Amy doesn't really have time for a relationship but there was something about David that caught her eye."
They added: "David has been the perfect gentleman and knows exactly how to treat a girl like Amy."
Amy Childs has been single since she broke up with boyfriend Joe Hurlock last year.
She recently stated that she would like to go on a date with Olly Murs.