A hotel review of 2017 published by property agents Fleurets has predicts additional 35,000 rooms are expected to open in the next two years.
According to the author of the report, Paul Hardwick director and head of hotels at Fleurets, the domination of branded budget hotels means that “mid-scale properties probably face the greatest challenges” going forward.
Additionally the report noted that the weak pound that ensued after the Brexit referendum has made the UK better value for money to international visitors. This has particularly benefited London and key tourist destinations.
The growing global economy and ongoing economic recovery in continental Europe is also continuing to encourage international travel. This has resulted in a significant increase in visitors to the UK, with inbound passenger numbers having grown by around 7% in the last 12 months compared with the previous year.
Hardwick said: “Despite these challenges, London hotels have witnessed year-on-year growth in RevPAR since 2010 and in regional hotels since 2012.
“Trading forecasts for both London and provincial hotels remain positive for the next couple of years, albeit slowing.”