World Cup Success for Wales

Hotel sector boosted by rugby extravaganza

THE WELSH hotel sector was boosted by Cardiff`s hosting of Rugby World Cup matches, according to latest figures.

The HotelBenchmark Survey by Deloitte reports that the market enjoyed a period of strong growth during the third quarter of 2007.

Cardiff saw RevPAR (room revenue per available room) growth of 23 per cent during the month of October and a 15.3 per cent increase in room rates.

Cardiff`s Millennium Stadium hosted a number of key clashes during the tournament, despite France being the designated host nation.

Ironically the stadium played host to France`s best moment during the competition, when they knocked out New Zealand in the quarter finals, before Les Blues went on to lose to England in the semi-final in front of their own fans in Paris.

John Antoniazzi, partner at Deloitte said, “Fears of a slow down following this summer’s global financial crisis have not yet materialised in the Welsh hotel market.

“While growth has slowed slightly from the 8.3 per cent seen during the first six months of this year, we remain positive about the outlook for hotel performance.

“For the hotel industry, demand is driven by both the business and consumer markets. Most companies continue to generate profits and corporate bookings remain strong and consumer spending has not yet declined as unemployment levels remain low.”

Mark Walker, general manager of Hilton Cardiff, said, “The Rugby World Cup brought a lot of people to the city in the form of spectators, media and of course players.

“Our figures for September and October are up considerably, however we feel that November will be different from last year as there is only one game being held during the month.”

Stephen Leeke, managing director at the Vale Hotel, Golf & Spa Resort agrees with the findings. He said, “This year has been a positive year with increased occupancy levels and average room rate.

"The trend seems to be continuing with October occupancy up almost 6 per cent to 84.3 per cent and ARR up more than £10 to £87.”