Emergency services were called to the Netley Marsh Steam and Craft Show shortly before 11pm last night.
The 18-year-old woman sustained injuries to her head while on one of the funfair rides and she was taken to hospital.
Emma Perry was enjoying the event with her 17-year-old daughter when the incident unfolded.
The heart failure nurse at Southampton General Hospital quickly jumped into action to help the girl, who she said was trapped on the Fun House ride.
The 51-year-old said: “The girl was on the oscillating floor in the Fun House when she slipped, fell backwards and her hair got caught in the rollers on the floor.
“Her friend came off the ride and said she was bleeding, so I offered my services as a first aider.
“When I got up there, I saw that three quarters of the girl’s scalp had been ripped off in what we call a degloving incident.
“First responders were already on the scene, so I cradled the girl’s head and kept talking to her.”
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Emma said the fire service soon arrived, but to safely extract the woman on a stretcher, a section of the ride had to be cut away.
“The girl was screaming and was clearly very distressed, it was so traumatic”, Emma added.
Following the incident, Emma wants to shine a light on the potential risks posed by such rides.
She said: “You do not expect that to happen at a village event like this.
“All of those who were there want to protect other people from having to go through that; it was horrendous.
“You have to ask, are these funfairs safe?
“I hope the girl makes a full recovery. This must not happen to anyone else.”
Cllr David Harrison, who represents Marchwood and Totton South, said he is “shocked and saddened” by the incident.
He added: “I am sure it will be properly investigated and any necessary action taken.
“My thoughts are with the injured person, family and friends.”
Hampshire police confirmed they have liaised with the Health and Safety Executive in light of the incident.
The organisers of the Steam and Craft Show confirmed the event is open today.