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UK Hotel Prices On The Decline

January 2, 2009 By: Jena Tesse Fox


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Hotel room prices in the UK have dropped for the first time in four years, according to data at Hotels.com. The booking website reports that prices fell 4 percent in the third quarter of 2008 to approximately $140.50 per room per night, compared to $146 being paid during the same period a year earlier.

Prices fell across many of the major UK cities in the third quarter of 2008 as hoteliers—particularly those in Scotland—looked to ensure that occupancy levels were maximized. Leading the falls in Scotland was Inverness, where prices fell 15 percent to an average of $136. Inverness was closely followed by Aberdeen, where prices fell by 11 percent to $139 on average. In England, Birmingham was the city most affected by price falls, experiencing a 13 percent drop in prices from $108.65 to $95.61 per room per night.

However, a notable exception to the national picture was in the UK's most expensive city, Bath. Prices here were up by some 13 percent in the third quarter of 2008 compared to the same time in 2007, to an average of $205.70 per night.

London hotels also saw prices fall by 3 percent year on the year to average $168 per room per night in the third quarter of 2008. Despite the price drop, hotels in London are still the second most expensive in the UK.

The HPI from Hotels.com also revealed that Edinburgh was the third most expensive city for hotels in the UK at $153.56 per room per night, despite experiencing a 5 percent drop in prices.



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