Airbnb shows 'significant' growth in London

Airbnb is seeing ‘significant’ growth in London with the site increasingly charging higher rates than traditional hotels, new research from STR Global has found.

Of the 11,000 Airbnb listings considered to be ‘competitive’ with London hotels, 52 per cent charge £100-199 a night, compared to 46 per cent of hotels (45,000 rooms).

However, Airbnb’s largest share of total accommodation falls in the £300-£399 a night bracket, accounting for 12 per cent of all listings in London.

The research found that only Westminster, Hackney and Lambeth offer average daily hotel rates that are more expensive than the room sharing site.

The three largest boroughs - Camden, Westminster, and Kensington and Chelsea – between them hold 51 per cent of London’s hotel supply and 38 per cent of Airbnb listings.

However just one per cent of London’s hotels are found in Hackney, compared to 11 per cent of Airbnb’s supply.

Elizabeth Winkle, STR Global managing director, said: “Across Europe, alternative accommodations are not a new phenomenon; pensions, pub accommodation, hostels and family stays have long existed.

“What has changed is the distribution platform providing an accommodation owner the means to easily and seamlessly list and let their property (or properties) connect to guests. Airbnb is one of the most recognisable of these ‘peer-to-peer’ or ‘rental-by-owner’ companies, and its inventory continues to increase across the globe.”

Airbnb offers roughly 25,361 units in London, 52.6 per cent of which are entire homes.