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UK hotel rates on the decline as they buck European trend

By James Russell: UK hotel rates on the decline as they buck European trend

December 17, 2013

Statistics from the Hotel Price Radar conducted by leading hotel portal HRS show a general decrease in average room prices in the UK in the third quarter of 2013.

The overall trend saw the most popular UK cities reduce their prices, in comparison to the same period last year. Only three cities saw an increase in average room price per night – London, Manchester and Reading with increases of 4.11%, 3.94% and 4.66% respectively.

The biggest reduction was seen in Edinburgh, with prices dropping by 11.76%. However, Edinburgh still remains the second most expensive city in the UK, behind London, with an average room price per night of £108.56.

Olympic rates not sustained

This trend reflects the overall success of the Olympics last year, seen throughout the UK. Room rates increased in the third quarter of 2012, and these rates have not been sustained following the Games. The notable exception is London which has capitalised on its global prominence to boost its tourism leading to an increase in room rates.

Glasgow has seen a very marginal change in rates (-.11%), reflective of the increasing worldwide interest in the city which will be hosting the Commonwealth Games in the summer of 2014.

European rates increase

In Europe generally, the top European cities have seen an increase in their room rates per night. Copenhagen saw the biggest increase, with an increase of 9.29% so that the average room price is now £116.14. London is the second most expensive city, with an average room price of £124.76, behind Zurich, which charges an average of £128.19.

Average price per room per night in a hotel in main UK cities:

Top destinations in the UK

Average room price per night in Q3/2013
in £

Comparison/
change Q3/2012 to Q3/2013 in %

Average room price per night in the last 12 months (October 2012 – September 2013) in £ 

Birmingham

67.30

-6.96

72.74

Bristol

86.83

-4.36

86.60

Edinburgh

108.56

-11.76

96.76

Glasgow

74.41

-0.11

74.58

Leeds

70.27

-3.59

72.87

Leicester

72.47

-10.67

75.28

Liverpool

72.09

-8.02

75.09

London

124.76

4.11

119.01

Manchester

82.28

3.94

83.16

Reading

86.34

4.66

86.26

 

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