Upcoming London Hotel Paints Picture of UK Hospitality Future

The Guardian says that the $578.5-million Park Plaza Westminster Bridge is still scheduled to open despite the drop in UK tourism and difficulties for hotel companies. It will be London's biggest hotel in a generation, boasting 1,021 guest rooms spread over 19 floors. The basement holds a 12,916-square-foot pillar-free ballroom (the biggest in London), which can accommodate up to 1,400 diners. Room prices are expected to start from $231 per night.

There will be inevitable questions about the wisdom of a bold venture in the depth of the recession. The number of people visiting Britain has fallen for the first time in seven years, with a sharp drop in the number of Americans—traditionally the big spenders. Overseas visitors have been cutting back on expenses-funded business trips—usually lucrative business for hotels—as well as holidays, leaving a glut of empty rooms.