The performance of London hotels over the first half of 2010 suggests the capital’s industry is now ‘firmly’ in its recovery stage.
According to PKF Hotel Consultancy Services, London hoteliers saw a 2.3 per cent increase in occupancy during the six months to June 2010 on the same period last year, while room rate rose by 7.1 per cent from £110.51 to £118.40.
The effect was an overall rooms yield increase of 9.6 per cent, from £86.78 to £95.09.
Robert Barnard, partner for Hotel Consultancy Services at PKF, said: “The figures for London over the first half of this year suggest the capital is firmly into its recovery stage which is positive.”
Regional rooms yield
However, while occupancy levels in the regions rose 3.1 per cent from 65.2 per cent in 2009 to 67.2 per cent this year, room rate declined by 3.7 per cent to £60.31, meaning rooms yield dropped 0.8 per cent to £40.55.
Barnard said that despite the drop in rooms yield, the increase in occupancy was a ‘good sign’ for hoteliers in the regions.
“We knew at the beginning of this year that over the 12 months of 2010, hoteliers could only expect a slow recovery,” he said. “So far the figures are in line with this and therefore I think hoteliers can feel relatively positive.”
Individual regional cities, such as Liverpool, Leeds and Edinburgh, also saw a drop in rooms yield despite seeing an improvement in occupancy, reporting a 2.8 per cent, 2.1 per cent and 1.3 per cent decline respectively.