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Hotel hostility

UK hoteliers saw further declines in room rate, occupancy and rooms yield for November...

According to PKF Hotel Consultancy Services latest report, preliminary monthly figures found room rate was down 5.6 per cent on the same period last year in London, from £137.29 to £129.93, while occupancy fell six per cent to 79.5 per cent.

These figures meant room yield saw a decline of 11.1 per cent to £103.32.

In the regions in the UK, room rate was down two per cent from £76.68 in 2007 to £75.17 this year while occupancy fell 5.6 per cent to 69.3per cent.

Overall, room yield was down from £56.23 in 2007 to £52.06 in 2008, a drop of eight per cent.

Room yield in Leeds and Manchester were down 3.1 per cent and 11.3 per cent respectively. Edinburgh continued to have a difficult year and reported losses of 5.3 per cent in occupancy and 6.7 per cent in room yield.

Robert Barnard, Partner for Hotel Consultancy Services at PKF, said, ‘Figures from hoteliers in the last few months have shown they are beginning to feel the inevitable squeeze from the UK, and global, economic downturns.

"November was unfortunately no different. In the capital however, looking at the year to date figures, there was some growth to see as room rate is up 4.7 per cent on the same 11 month period in 2007, while overall, rooms yield was up 3.2 per cent on the same period."

Source: www.propertyweek.com