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| Hospitality Today | Feb/Mar 14
The Hospitality
Marketplace
The latest “Hotstats” report on chain
hotels shows that UK hotels did well
last year, with eight out of 10 regions
achieving profit growth.
Total revenue per available room
(TRevPAR) grew by 3.8%, and gross
operating profit per available room
(GOPPAR) increased by 5% despite
higher costs.
Hotels in Greater London, the North East,
East and West Midland saw GOPPAR fall
in 2013, whilst those in the North-East
saw RevPAR rise 6.1% to £51.63, as room
rates there rose 3.7% and occupancy 1.6%.
Figures from BDO showed that London
hotels saw room yield rise 5.9% in
December to £95.44, after a 5.5% rise in
room rate and a 0.4% rise in occupancy.
Meanwhile budget hotel chain Premier
Inn has continued to win market share.
For the 39 weeks to 28 November, its total
sales rose by 12.9% and room nights sold
were up by 10% to 11.8m. In London,
sales were up 16.3%.
Pub chain Fuller’s reported like-for-like
sales in managed pubs and Hotels grew
7.7% for the 43 weeks to 25 January.
Like-for-like profits in the Tenanted Inns
division grew by 2%, while total beer and
cider volumes across Fuller’s grew by 1%.
Simon Emeny (below left), Chief Executive,
commented: “We have had a good year,
including a record Christmas”.
January’s surprisingly good UK employment
figures, showing unemployment dropping
to a five-year low, has coincided with an
Employers’ Survey by Barclays. This found
that 47% of hotels, restaurants and pubs are
planning to increase staffing levels over the
next 12 months. 69% of businesses plan to
increase wages in 2014, despite 51% saying
that wage pressure from employees was not
an issue.
Hotel Investment
Figures from Jones Lang LaSalle (JLL) show
that the UK remains the leading market
for hotel investment, attracting 37% share
of EMEA hotel investment volume in 2013.
Trading and sentiment has improved and
market confidence has been boosted by a
number of key global investors, notably the
Abu Dhabi Investment Authority (ADIA),
Starwood Capital, KSL Capital Partners
and Mount Kellett.