London hotels leading Europe out of recession, says report

09 March 2010 by
London hotels leading Europe out of recession, says report

London is leading European hotels out of the recession, according to business advisory firm Deloitte.

While hotels throughout Europe will see a growth in occupancy, average room rates and revenue per available room (revpar), it will be difficult to surpass pre-recessionary levels this year, explained Alex Kyriakidis, global managing partner of tourism, hospitality and leisure at Deloitte.

"Hotels in London, however, are an exception," he said. "The capital had the advantage of an inexpensive currency compared to the US dollar and Euro throughout the downturn along with limited new supply and did not experience the massive drop off in tourism that some European cities did.

"Increases in leisure visits from international and domestic tourists counterbalanced a 20% drop in business travel. Combined with strong revenue management, London is leading European hotels out of the recession.

"Hoteliers there have been able to push up average room rates since November 2009 and could possibly achieve double-digit revpar growth this year."

London leads recovery among European hotels >>

London hotels boosted profitability by 23% in December >>

Hotel sector faces recovery rather than growth >>

By Janet Harmer

E-mail your comments to Janet Harmer here.

If you have something to say on this story or anything else join the debate at Table Talk - Caterer's new networking forum. Go to jobs
Looking for a new job? Find your next hotel job here with jobs

Blogs on]( Catch up with more news and gossip on all Caterer's blogs
[Newsletters For the latest hospitality news, sign up for our e-mail newsletters.
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