UK's 'worst hotel chain' doubles profits

By Sophie Witts contact

- Last updated on GMT

UK's 'worst hotel chain' doubles profits

Related tags: Hotel chains

Britannia Hotels has more than doubled its profits despite being named the UK’s ‘worst hotel chain’ four years in a row.

Turnover at the group rose six per cent to £84m for the financial year ending 31 March, while pre-tax profits increased from £14.2m to £33.3m.

Accounts filed by director Robert Ferrari said the acquisition of a string of properties​ in the past year had seen sales grow as part of a ‘carefully managed expansion’ to secure the future of the business.

Last summer the 52-strong group bought the Grade II listed Palace Hotel Buxton, the Basingstoke Country Hotel and the Cavendish Hotel in Eastbourne​ in a series of multi-million pound deals.

It follows a turbulent few years for Britannia, which saw profits fall 69 per cent to just £3.5m in 2013.

Britannia has ranked last in the annual Which? consumer survey​ of hotel chains, which asks customers to rate brands on factors such as cleanliness and comfort, since 2013.

But the company said it was investing in its properties to meet the challenges of a growing UK hotel market.

It added that though current economic trading conditions were likely to ‘strain the business’, it had controlled the risk with competitive pricing.

Britannia said: “The directors recognise that the environment of increased competition in the UK hotel industry has placed additional demands on the business...[but] we are confident that the business is well placed in order to meet the challenges."

Britannia, which also owns the Pontins holiday camps, was founded by Alex Langsam in 1976.

The group now employs more than 2,000 staff.

Related topics: Business, Hotels

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