London hoteliers are on the “fast-track” to recovery, according to professional services firm Deloitte.
London hoteliers are on the "fast-track" to recovery, according to professional services firm Deloitte.
An analysis of STR Global data by Deloitte has revealed double-digit growth for London’s hotels during the first quarter of 2010.
RevPAR in the first three months of the year was up 10.1 per cent year-on-year at £94. Occupancy was the key driver, rising 5.4 per cent to 76.2 per cent. Average room rate grew 4.5 per cent to £123.
Marvin Rust, hospitality managing partner at Deloitte, said: “The start of 2010 has seen hoteliers in the capital build upon the growth reported in the final quarter of 2009.
“In just three months revPAR growth has more than doubled compared to Q4 2009 results, and re-confirms that London hoteliers are on a fast track to recovery.”
Rust added that an early Easter had cut back the contribution of business travel, which meant that the London hotel sector’s performance would have been even stronger if the holiday had fallen later.
Occupancy in the regions has also returned to positive recovery in the last couple of months signaling a recovery at last for hoteliers outside the capital.
Growth in occupancy at hotels in the regions was 3.4 per cent to 61.2 per cent in the first quarter, although a snowbound January was enough to keep first quarter revPAR in negative territory down 1 per cent year-on-year to £40.