'Poshtel' trend continues as Euro Hostel completes £6m investment

By Sophie Witts

13-Nov-2015 - Last updated on 13-Nov-2015 at 12:40 GMT

Budget brand Euro Hostel has completed a multi-million pound investment across its estate in the year in which ‘poshtels’ were predicted to become one of the most dynamic sectors of the UK hotel market.

The group has ploughed £6m in to its re-branding and expansion efforts over the last twelve months.

Developments include the £4.5m purchase of the former Starboard Hostels site in Liverpool, along with a £500,000 refurbishment.

It has also invested £750,000 in creating 'VIP' suites at its Glasgow site as part of what Euro Hostel describes as ‘the inevitable evolution of super-budget accommodation’.

The self-contained, soundproof suites include widescreen TVs and table football games.

'Poshtels' set to drive hostel growth in 2015

Euro Hostel said the suites had been ‘well received’ and would be rolled out across its estate.

“Our new identity is far more in tune with what we’re about as a provider of friendly, fun and contemporary super-budget city centre accommodation,” said Euro Hostel managing director, William McClelland.

“We’ve invested heavily, financially and as a team, in developing a product that remains true to the hostel concept, but with the things customers should expect from a comfortable and safe accommodation provider.”

Euro Hostel also launched its new EH! branding in Liverpool this week. The new look will be rolled out across sites in Edinburgh, Glasgow and Newcastle at a cost of £100,000.