London bombings fail to affect hotel figures

26 August 2005
London bombings fail to affect hotel figures

The two bombing campaigns in London last month had little impact on the capital's hotels, according to the latest report from TRI Hospitality Consulting.

Its figures also scotch accusations that hotels profiteered from the travel chaos created by the bomb attacks.

Total revenue per available room (revpar) in London slipped by 3.5% to £3,112 in July thanks to a fall in occupancy of 3.5 percentage points (to 82.4%).

"The fall in July was much more modest than might have been feared," said TRI managing director Jonathan Langston. He added that trading results were also depressed by the absence of the bi-annual Farnborough International Air Show.

Room rate grew by 1.2% to £89.63. This modest increase, Lanston said, showed hoteliers did not panic in the face of falling occupancy, nor take advantage of stranded travellers by inflating prices.

Provincial hotels appear to have escaped unscathed from the after-effects of the London bombings. Although occupancy dropped slightly by 0.8 percentage points (to 76%), room rate grew by 2.4% to £67.71.

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