Hotel solutions provider HRS is reminding travel and procurement managers to review their travel programmes on a regular basis to get the best possible rates as they continue to soar in the UK and Ireland year on year.
Prices grew in UK and Ireland in 2014
According to latest research from HRS, average prices for hotel room nights grew solidly in all of the UK and Ireland’s major cities in 2014, compared with 2013. In contrast however, the average room rates significantly fluctuated in cities across Europe and worldwide.
HRS analysed all hotel bookings made via the HRS hotel portal in 2014, with results showing that in the UK and Ireland, hotels in Leeds recorded the highest price rise, with an average increase of 21.6% that could be 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 hot on its heels (14.5%). Only London broke the £100 barrier, with average room rates costing £126 (165€) per night in 2014. Edinburgh was the second most expensive city, with an average room rate of £99 (130€), followed by Bristol at £87 (114€) on average per night.
9% increase in average room rates
The study showed that all of the UK and Ireland’s major cities had recorded an increase in average room rates of at least 9% for the year, compared with 2013. On average in 2014, the cheapest hotel room rate in the UK could be found in Birmingham for just £72 (95€), followed by Liverpool at £74 (97€), up 9% on the previous year.
Jon West, Managing Director of 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.
Optimise hotel procurement
Jon continued: “The hotel market is fragmented and highly complex; this means that many companies can often lack the necessary analysis tools and benchmark information needed in order to obtain and negotiate an efficient hotel programme. Companies are starting to realise that by accessing data and consultation services on an ongoing basis, they can really optimise their hotel procurement, whilst decreasing accommodation costs permanently. However, travel and procurement managers must also remember that sourcing can be done at any time of the year to make the most of their spend.”
Looking at Europe’s top destinations, London knocked Zurich off its top spot as the front-runner, with an average of £126 (165€) per night. The Swiss city dropped down to second place, costing £110 per night (144€), with Paris coming in third at £106 (139€).
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