Morning:
14°c
Tourists checking out capital's cheaper hotels
21.09.09
Overseas visitors taking advantage of the cheap pound are getting even better value from the capital's hotel accommodation.
London hotels are reckoned to have slashed room rates by £10 this summer and are likely to match that cut again over the next year, according to a report into the sector by consultants PricewaterhouseCoopers (PwC).
It is the biggest fall since 2002, when the hospitality industry struggled to cope with the aftermath of the 9/11 terrorist attacks.
According to the report, London has fallen to 22nd in the firm's league table of most expensive destinations worldwide. The report says the weaker pound has been a lifeline for the hotel industry.
Yet PwC chief consultant Robert Milburn warned the industry remains in a poor way.
"While domestic and overseas leisure tourism has been a tonic for UK hotels, the stark absence of corporate travel has left the sector severely weakened," he said
"Overseas visits are down 9% and air travel is expected to contract further, making the return of the business and conference markets critical for a full recovery."
