London hotel market performance slows in May

29 June 2007 by
London hotel market performance slows in May

The London hotel market could be cooling down after a strong start to 2007 that has seen room rates soar.

TRI Hospitality Consulting's UK Chain Hotels Market Review for May shows London hoteliers kept their prices firm during the month and grew room rate 10.7% to £112.89 (2006: £101.94).

However, although there was a 2.6 percentage point fall in occupancy levels to 82.2 (2006: 84.8), this was not enough to prevent revenue per available (revpar) climbing 7.3% to £92.81 (2006: £86.46).

David Bailey, director of TRI, said: "The rate of London's revpar growth has moderated, which may give rise to a more flexible approach to pricing in the future."

Overall, UK hotels saw a fall in occupancy of 0.5 points in the month to 76.6% (2006: 77.2%) as a decline in guests at hotels in the provinces was arrested.

With overall room rate up 6.5% to £87.16 (£81.85), revpar at UK hotels in May climbed 5.7% to £66.79 (2006: £63.18).

View more trends and data news on CaterereSearch here >>

Industry data: TRI HotStats - monthly UK hotel figures >>

Bench: London revpar rises by nearly 15% >>

By Chris Druce

E-mail your comments to Chris Druce]( hotel market performance slows iin May) here.

[The Caterer Blog]( Catch up with more news and gossip on the Caterer Blog here
[Newswire For the latest hospitality news, sign up for our e-mail news alerts.
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 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