UK hotel performance on an upward path
Hoteliers across UK have reason to be optimistic; Strong Euro boosts tourism to UK
Weekend leisure demand is driving the recovery with much stronger performance than corporate weekday demand. RevPAR was down 3.8% to £54 on the weekend while weekday drops were more severe, down 14.6% to £58 from 1 January through 20 May 2009. However, some cities actually saw increases in weekend leisure demand during the period including Glasgow (4.3%), Edinburgh (3.4%) and London (0.3%). In this tough operating environment this is a great achievement.
Marvin added: “Although the results for corporate weekday demand in London look weak with a decline of 11.0%, the trend is definitely upwards over the last five months. Clearly one of the factors driving the upward trend across the country is the increasing number of Brits taking short breaks in the UK, where Sterling stretches further than in Europe. The strong Euro against Sterling has also made the UK less expensive than in the past, which is helping hotels perform better and walking around London there are a noticeable increase in the usual number of European accents in the shops and at London’s attractions.”
The only areas yet to show an improvement are weekday demand in the Regions and the country’s airport hotels where trading continues to be tough.
UK city performance split by weekday and weekend
|Weekday revPAR (£)||Weekday revPAR (%)||Weekend revPAR (£)||Weekend revPAR (%)|
Source: STR Global
- All analysis in GBP
- All data is daily STR Global data covering the period from 1 January – 20 May 2009
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