Positive momentum and upcoming Rugby World Cup to boost UK hotels in 2015: PwC figures
by Chris Dodd | 19 Sep 2014
Several UK cities will host matches as part of the Rugby World Cup next year / Shutterstock.com/Neil Balderson
Strong performances from London’s hotel sector alongside the UK’s regional cities, combined with the upcoming Rugby World Cup, are expected to contribute to a 5.6 per cent gain in revenue per available hotel room in 2015, according to new figures from PricewaterhouseCoopers' UK hotels forecast.
The promising increases are expected to be driven by four per cent growth in rates for offerings, as well as an expected increase in room occupancy of just over one and a half per cent.
The UK’s capital city has seen some positive increases, with the area experiencing occupancy rates of 80 per cent in the first half of 2014, with London’s yearly occupancy rate for 2014 expecting to measure up at 83 per cent.
Strong showings have also been recorded in Britain’s regional cities, where PwC expects a growth rate of three per cent for the year, taking occupancy overall to 75 per cent – the highest measure for 14 years.
For example, in the cities of Aberdeen, Bristol, Cardiff, Coventry, Manchester, York, Plymouth and Southampton, revenue per available room (RevPAR) moved into double-digit growth figures.
Experts also predict that positive showings in the market next year will be encouraged by British cities hosting matches at the Rugby World Cup.
“We expect further growth in 2015 from demand to attend Rugby World Cup matches. The event will be held across the country in Birmingham, Brighton, Exeter, Cardiff, Gloucester, Milton Keynes, Leicester, Leeds, Newcastle and Manchester, as well as London. With a third of matches set to be played on a Sunday – traditionally a low occupancy night – the event is a great opportunity for hotels,” said Liz Hall, head of hospitality and leisure research at PwC.
According to the study, at the end of June this year there were around 23,000 rooms in the UK development pipeline expected to open in either 2014 or 2015, with over 10,000 of these new rooms expected to be created in London.
The positive figures from the report come as the UK welcomes strong figures across in the tourism sector, with Britain experiencing its highest number of overseas visitors ever during the first half of 2014.
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Strong performances from London’s hotel sector alongside the UK’s regional cities, combined with the upcoming Rugby World Cup, are expected to contribute to a 5.6 per cent gain in revenue per available hotel room in 2015, according to new figures from PricewaterhouseCoopers' UK hotels forecast. The promising increases are expected to be driven by four per cent growth in rates for offerings, as well as an expected increase in room
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