Record-breaking occupancy could push London hotel rates up

Hotels in the capital could push up their prices as a result of soaring occupancy levels in 2015, according to PwC's latest European hotel forecast.

London hotes will see their highest occupancy rates for nearly 20 years
London hotes will see their highest occupancy rates for nearly 20 years

The forecast predicts that the improving economic and business travel backdrop will drive growth for the hotel sector in both 2015 and 2016, resulting in greater occupancy and higher hotel rates.

London hotels are predicted to see occupancy rates of 84% in 2015, its highest for almost 20 years, which will result in the city’s average revenue per available room (RevPAR) reaching £122 this year and £127 in 2016.

Hotels in UK regions are expected to reach their highest ever average occupancy level of 76% in 2015 and retain this the following year. PwC predicts that hoteliers in the regions will raise rates upwards to drive 5.4% and 5.1% RevPAR gains in 2015 and 2016 respectively. 

The pace of new UK hotel supply growth is also expected to rise in 2015 by 4.5% in London and 2% in the regions. The ten cities with the most active room pipelines are London, Manchester, Edinburgh, Birmingham, Aberdeen, Glasgow, Newcastle, Liverpool, Cambridge and Bath.

More on London hotels:

Shangri-La at The Shard, London: hotel review

London hotels pull out of hosting Rangers FC meeting after 'threats'

London hotel rates highest in Europe

Have you registered with us yet?

Register now to enjoy more articles
and free email bulletins.

Register now
Already registered?
Sign in
If an event manager had overseen Brexit...

If an event manager had overseen Brexit...

'I can't help but think we'd be in a better place than the one we're in now,' says Alex Hewitt, CEO of AOK Events.

New airport opens in Murcia

New airport opens in Murcia

The international airport in the Spanish region of Murcia will have links to destinations across the UK.

Record 50 million visitors to LA in 2018

Record 50 million visitors to LA in 2018

The ambitious target has been hit two years early, says the Los Angeles Tourism Convention Board.

Mondrian London changes ownership and becomes Sea Containers London

Mondrian London changes ownership and becomes Sea Containers London

South Bank hotel to be managed by the Lore Group and will operate as normal during transition.

How freelance event planners can steer clear of HMRC tax penalties

How freelance event planners can steer clear of HMRC tax penalties

Managing director of DSR Tax Claims, David Redfern, provides guidance to help freelancers avoid fines and penalties.

Two new hotels in Abu Dhabi for Radisson Blu

Two new hotels in Abu Dhabi for Radisson Blu

The Abu Dhabi Corniche has event space for up to 2,000, while the Al Ain features a garden area for al fresco social gatherings.

Flybe shares plummet as Virgin-led consortium beefs up takeover bid

Flybe shares plummet as Virgin-led consortium beefs up takeover bid

Flybe shares nosedive again as investors discover they will not be able to vote on the deal.

Measuring the ROI of fun

Measuring the ROI of fun

Elements which make your live events more immersive and fun need a clear ROI, according to an expert panel at the C&IT Corporate Forum.

Marketing budgets flatline as 'uncertainty bites', report reveals

Marketing budgets flatline as 'uncertainty bites', report reveals

Heightened business uncertainty has seen UK marketing budget growth stall, although events budgets have risen 2.6%.

Case study: Sir David Attenborough at Whitley Fund for Nature's Hope Gala

Case study: Sir David Attenborough at Whitley Fund for Nature's Hope Gala

The Natural History Museum was the venue for the special 25th anniversary event hosted by Kate Humble.

LATEST JOBS