London hotels drop prices to keep visitors coming in wake of Olympics

London hotels drop prices to keep visitors coming in wake of Olympics

London hotels have cut room rates in the last year and seen a hefty boost to business over the same period.

Hotel room rates covered in a survey by business advisory company BDO LLP were two per cent lower in June 2013 compared to June 2012, while room occupancy rose by 6.3% from 82.6% to 87.9%.

“This is a strong performance in London,” said Robert Barnard of BDO LLP.

“Operators are skilfully using selective price discounting to contribute to top line growth at a time when the operating environment is beginning to show signs of improvement.”

Those price-discounts from London hotels are likely to continue as the after-effects of last year’s Olympics continue to be felt.

“London’s performance may suffer from unfavourable comparisons with last year’s Olympics-inspired success, but the city’s fundamentals are likely to remain sound for the remainder of 2013,” added Barnard.