PwC Finds A City At The Top Of Its Game - Seven Years On: How Far Have London's Hotels Come Since We Won The Games? [Infographic]

Commenting on performance of the London hotel market since the successful bid to host the Games was announced, Liz Hall, head of hospitality and leisure research at PwC, said:

"London is a city at the top of its game and the considerable investment in new hotels and improving existing ones will leave a powerful legacy for 2012 and beyond.

"The luxury hotel market in London has grown 33% since the Games were announced and the budget sector has also increased its presence with a 60% increase in room supply.

"However, such a large supply spike against an uncertain economic and travel environment is likely to mean a tougher competitive outlook.

"Many operators are positive about London’s prospects after the Games, encouraged by the global awareness of the Capital as a destination and the ongoing improvements in infrastructure. Others, however, have voiced concerns about the supply spike and how it will be absorbed. If there is a post-Games travel dip, trading could get very difficult – especially in East London.

"The challenge for London's hoteliers after the Games will be how to differentiate themselves in such a competitive market off the back of the Games feel good factor.

"London does however, have a highly profitable hotel sector and most cities around the world would love to have even a fraction of its success!"

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