Speech House Lake is a small narrow lake in the Forest of Dean, not overly attractive in itself, but transformed by the magic of filming into a mystical place…
how it's used in Merlin In the episode
The Gates of Avalon, Speech House Lake stands in for the other-worldly Avalon, home of the Sidhe. In reality the Lake itself is a fairly drab place, but it is truly transformed in the night-time scene where an enthralled Merlin witnesses Aulfric bargaining with the exotic tiny blue winged Sidhe. (Oops, exceeded my adjective quota there!) The shots of Arthur actually sinking through the water were filmed in a tank in Battersea, London. A much more hygenic way to treat a star!
In the episode
Excalibur, the location was also used as a more prosaic unnamed lake - though enhanced by dramatic CGI mountains in the background - where Merlin ends up hiding the magical sword that he, Tom and the Great Dragon have created between them.
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