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South East Wales expects 16% increase in demand for rooms

11 August 2006 by
South East Wales expects 16% increase in demand for rooms

Demand for new serviced accommodation in South East Wales is likely to rise by 16% by 2010, according to a report released today by the Department of Enterprise, Innovation and Networks at the Welsh Assembly.

The rise equates to an increase in demand of nearly 40,000 roomnights per year - or 1,700 new hotel beds - which could culminate in the need for significant new hotel development, the report, South East Wales Services Accommodation Supply and Demand 2006, suggests.

The research focuses on 12 authorities in South East Wales, including Cardiff, Merthyr Tydfil, Newport and Swansea. Cardiff will continue to be the focus of attention, with demand for beds in the Welsh capital expected to grow by 18%.

"This is an ideal opportunity for potential developers to take advantage of a growing market," said Andrew Davies, minister for enterprise, innovation and networking.

By Matthew Batham

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