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Average hotel prices continued to rise through 2014
Image courtesy of VisitEngland and Diana Jarvis

Average hotel prices continued to rise through 2014

In this episode we speak to brothers Alex and Adrien Grosjean, young entrepreneurs who have recently acquired The Residence Inn by Marriott Manchester Piccadilly. We discussed the reasons why Manchester’s visitor market is booming, and their decision to invest in this area, why they see extended-stay accommodation as a major opportunity in what is one of the UK's fastest-growing cities, how they plan to enhance their portfolio of hotels, and their advice for the next generation of hospitality disruptors.

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Hotel rates in the UK and Ireland’s major cities rose by at least 9% in 2014 compared with 2013, according to hotel solutions provider HRS. 

HRS analysed all hotel bookings made via its hotel portal in 2014. Hotels in Leeds recorded the highest price rise, with an average increase of 21.6%, which HRS attributed to the legacy of the Tour de France kicking off in Yorkshire last summer.

London’s hotels followed closely behind (16.1%), with Birmingham coming in at third (14.5%).  Only London broke the £100 barrier, with average room rates costing £126 per night in 2014.

Edinburgh was the second most expensive city, with an average room rate of £99, followed by Bristol at £87.

On average in 2014, the cheapest hotel room rate in the UK could be found in Birmingham for just £72, followed by Liverpool at £74, but which was still up 9% on the previous year.

Overall, London, Zurich and Paris were found to be the most expensive cities in Europe, while New York had the highest average room rate worldwide, at £157 per night.

Jon West, MD for HRS UK & Ireland, said: “These figures show that UK hoteliers are clearly reaping the rewards from an uplift in demand from both leisure and business travellers. This is great news for hoteliers who are able to charge more on average for their rooms per night, but obviously not so great for guests paying a premium.

“In fact, as rates continue to increase in the UK and Ireland, and fluctuate globally, we really would urge travel and procurement managers to review the effectiveness of their travel programmes on a regular basis to ensure they’re getting the best rates possible to make substantial savings for the long-term.”

Image courtesy of VisitEngland/Diana Jarvis

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