Regulatory and Legal Affairs

📈 U.S. hotel occupancy in 2025 dropped to 62.3% (-1.2%), with RevPAR at $100.02 (-0.3%). New York City led with 84.1% occupancy, $333.71 ADR, and $280.71 RevPAR. San Francisco's ADR rose 6.0% to $225.82, with an 11.8% RevPAR increase. St. Louis occupancy climbed 6.5% to 61.7%. Houston saw the largest occupancy drop (-8.6% to 58.9%), while Las Vegas faced ADR and RevPAR declines of 4.3% and 10.9%, respectively.

📈 In December 2025, the UK hospitality sector employed 8,784 fewer people than November and 20,014 fewer than September. The decline coincided with typically busy festive hiring. Rising employment costs and changes to employer National Insurance contributions are cited as reasons. UKHospitality urges government action to increase the business rates discount to 20p to mitigate April's scheduled business rate hikes. Chief executive Allen Simpson warns of the sector's potential stifled by increased tax burdens, risking further job losses and closures.

📈 Jan 20, 2026: In Europe, the online travel market is evolving. Booking.com faces EU Digital Markets Act regulations, limiting rate parity and compliance. Expedia Group shifts strategies, expanding B2B partnerships with banks, airlines, and fintechs, instead of direct consumer traffic competition. This creates fragmented distribution options and requires hoteliers to rethink channel mix and pricing. The changing landscape offers opportunities for hotels to diversify and rebalance their reliance on dominant OTAs like Booking.com.

💸 Germany/Austria: Revo Hospitality, previously HR Group, filed for insolvency with restructuring by summer 2026. Rising costs and rapid expansion led to this situation. From 51 hotels in 2020, they expanded to 250, but projected 2025 revenues weren't met. 125 hotels and 5,500 staff are affected but will continue operating. Pre-financing for salaries (Jan-Mar 2026) is sought, overseen by Gordon Geiser and Benedikt de Bruyn of GT Restructuring, aiming for international investors.

📝 By 2029, the UK plans to end using hotels to house asylum seekers. As of September 2025, over 36,000 asylum seekers reside in hotels, with costs projected to reach £15.3 billion over the next decade. Migrant arrivals via small boats reached 41,472 in 2025. The government aims to collaborate with local authorities for alternative accommodations, yet challenges remain due to housing shortages and planning constraints. Hotel reliance reflects deeper systemic issues, questioning the feasibility of the 2029 deadline.

🛌 UK, 2026: Chronic housing shortages and asylum processing backlogs have made hotels central to asylum accommodation. The hospitality industry faces a 2029 deadline to transition away from this model, raising concerns about feasibility. As hotels take on this role, questions about the industry's capacity and the government's plans for sustainable solutions become increasingly urgent. Reading time for this article is approximately 12 minutes.

🏨 Hilton, in McLEAN, Virginia, announced Apartment Collection by Hilton, a new category offering furnished apartments, launching in the first half of 2026 across the U.S. in partnership with Placemakr. Hilton aims to expand its apartment inventory by 3,000 units, adding to its existing 10,000. The properties offer studio to four-bedroom apartments with kitchens and 24/7 support. Placemakr will manage these properties, leveraging its expertise in the furnished apartment sector.

📈 China, Jan 15, 2026: An antitrust investigation targets Trip.com, China's largest online travel platform, under the Anti-Monopoly Law. Regulators assess whether Trip.com abused its market dominance, potentially impacting competition. Despite the investigation, Trip.com pledges full cooperation while maintaining operations. The news prompted a significant sell-off of Trip.com shares, reflecting increased regulatory concerns. If found guilty, Trip.com faces substantial fines and corrective actions. This aligns with China's broader regulatory scrutiny on major tech platforms.

💳 ATLANTA, Georgia—January 2026, AAHOA praised the reintroduction of the Credit Card Competition Act in Congress. The bill, backed by Sens. Marshall (R-KS), Durbin (D-IL), Reps. Gooden (R-TX), Lofgren (D-CA), and endorsed by President Trump, aims to introduce competition against Visa and Mastercard to reduce swipe fees. AAHOA, representing nearly 20,000 hotel owners, emphasizes the act's importance to curbing costs for small businesses generating over $100 billion in annual tax revenue.