De Vere hit by rising energy bill

08 December 2005
De Vere hit by rising energy bill

British hotel and leisure operator De Vere Group remains upbeat about its performance, despite increasing energy costs, which are set to rise by £3.5m.

Chief executive Carl Leaver said: "Despite ongoing cost pressures we're cautiously optimistic for the current year. We'll have to be creative in how we maintain margins in this kind of cost environment."

The company posted a 7.8% dip in full-year pre-tax profits last week after being hit by a £2.3m rise in utility costs and business rates in 2005.

Operational performance was more positive, with De Vere hotels achieving a like-for-like increase of 5.2% in revenue per available room (revpar).

Leaver said the company was still implementing 3m of cost efficiencies announced 18 months ago. More savings would come through purchasing strategies, food and beverage management and payroll control.

He added that the group was looking abroad to expand its golf resort management business, having recently landed its second Spanish contract, and was now looking for other resorts in Portugal and Ireland.

The Caterer Breakfast Briefing Email

Start the working day with The Caterer’s free breakfast briefing email

Sign Up and manage your preferences below

Check mark icon
Thank you

You have successfully signed up for the Caterer Breakfast Briefing Email and will hear from us soon!

Jacobs Media Group is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.


Ad Blocker detected

We have noticed you are using an adblocker and – although we support freedom of choice – we would like to ask you to enable ads on our site. They are an important revenue source which supports free access of our website's content, especially during the COVID-19 crisis.

trade tracker pixel tracking