Growth in the UK hotel industry remains steady, according to the latest figures from PKF Hotel Consultancy Services.
February's room occupancy in London was down from 2010 by 4.7% to 75.6%, but room yield increased by 1.7% year on year. This can be attributed to an increase of 6.7% in room rate to £128.31 in 2011.
Preliminary data for March 2011 suggests the capital is heading for a stronger month. Year-on-year room rate increased to £122.98; room occupancy increased to 81.8% and rooms yield increased to £100.62.
Regional figures for February show room rate increasing to £60.91 this year. Room occupancy dropped slightly to 64.5%, but room yield was up by 0.5%.
Preliminary figures for March in the regions show that room rate is up 1.4% to £61.39, room occupancy remained flat at 67% and room yield increased by 1.3% to £41.13.
Robert Barnard, partner for Hotel Consultancy Services at PKF, said: "These are healthy figures for the industry and I expect, particularly for London, that the figures will remain strong over the next few months with the Royal Wedding at the end of April expected to bring in additional visitors to the capital.
"However, the rest of the year is likely to be less settled as the industry continues to be impacted by broader worldwide issues. London should be less affected, especially as it benefits from the build up to the Champions League Final and the Olympic Games. The regions, however, will more likely have a slower recovery and be dependent on growth in the MICE and corporate markets."
By Gemma Rowbotham
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