Weak growth for UK hotels linked with ‘unfair advantage’ for OTAs

RevPAR for the European hotel industry decreased by 0.8% in May 2018, despite the positive 5.2% increase seen in April.  

Whilst the UK experienced weak growth in RevPAR (+0.4%) thanks to an occupancy rate up 1.5 points, other European countries such as Portugal, Hungary and Greece posted notable increases in comparison.

The new data from UKHospitality comes in the wake of a recent report by the Competition and Market Authority’s (CMA) on online bookings, highlighting a number of concerns relating to search rankings, discount claims and hidden charges.

UKHospitality CEO Kate Nicholls said: “The findings highlighted by the CMA brought unfair practices of digital businesses to the forefront of the conversation – practices that have been providing an unmerited advantage against highly regulated operators whose first concern is to deliver good service to their customers.

“At a time when the UK is showing some signs of slow improvement, the government needs to take action to support these businesses. In order to sustain and grow the hotel industry, it’s vital that online booking sites operate with transparency, providing customers with confidence in their decision and a boost for hoteliers.”