Occupancy and ADR rise in July

Occupancy in the regions grew by 2.9 per cent to 82.8 per cent thanks to the extra visitors brought by the Commonwealth Games in Glasgow and the British Open in Liverpool.

Average room rate in the regions also increased by 11.7 per cent, to £62.56 – bringing room yield to £51.79, up 14.9 per cent on last year.

London also performed well with 86.8 per cent occupancy, despite a recent increase in supply with the opening of the Shangri-La at the Shard and Firmdale’s Ham Yard.

Hotels in the capital saw a 2.3 per cent increase in room rate to £125.58, and a 1.9 per cent rise to £109.01 in room yield.

Robert Barnard, partner at BDO LLP, said: “We know that major sporting events such as the Commonwealth Games always create a high demand for rooms and this has certainly been the case in the regions last month. 

“London hotels have also had a busy month and the recent openings of luxury hotels show that demand for high-end hospitality in the capital maintains its strong growth pattern. 

“Strong occupancy is great news for the hotels sector and the knock-on effect on room rate hints at growth in the year ahead. UK hoteliers can feel confident about the health of the industry, as the figures continue to show an upward trend.”