Led by London, UK hotel sector shows gains, says Knight Frank report
🏨 UK hotel sector resilient in 2024, nearing pre-pandemic occupancy and profitability. London occupancy rate at 82%, up 3.4% from 2023; average daily rate (ADR) £228. Upper-upscale segment occupancy at 84%, luxury segment at 75% with a 3.6% ADR drop. Regional UK cities occupancy increased to 76%, ADR £105. London hotels saw a 5% increase in gross operating profit per available room (GOPPAR) over 2019; regional hotels' GOPPAR £38, GOP margin at 30%. Operational costs rise due to higher wages and National Insurance. Knight Frank predicts technology will be key for future efficiency and growth in the sector.
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