Mixed landscape for North West hoteliers

The North West hotel landscape is a mixed picture, as major city operators experience growth while Blackpool hoteliers have struggled, according to a new report.

Accountancy firm BDO LLP surveyed hotel operators in the region and found Liverpool and Manchester grew revenue and occupancy.

The firm’s hotel survey found that Liverpool rooms yield (the industry term for revenue) rose by 8.5%, compared to an average increase of 2.4% in regional UK. Elsewhere in the region, rooms yield in Manchester was up 4.4% and in Chester by 4.2%.

But in Blackpool hotel revenue fell by almost 20% in June 2013 (compared to the year previous) due to a decrease in occupancy levels by 15.8%, and a further drop in the average price paid per hotel rooms by 4% to £52.73.

Meanwhile for other cities in the region occupancy levels and the price paid per room increased steadily. In Manchester, 77.6% of its 4,800 rooms were occupied in June at an average price of £74.48. In Liverpool, 72.6% of the 1,700 rooms were filled at £66.96 each.

Mark Sykes, partner at BDO LLP in the North West, commented: “The figures are positive, with hotels across most cities in the region reporting strong results for June, and for the first half of the year as a whole.”

The region played host to a number of popular events in June, including Liverpool Aintree’s Race for Life, and Rihanna, The Who and Kings of Leon concerts. Large annual conferences such as SAScon, Chartered Institute of Housing and the RCOG World Conference also helped bring more people to the North West.

Mark Sykes added: “Events, conferences and concerts in the region, combined with the bank holiday season and a run of good weather, have given hoteliers a welcome boost in the last three months.

“However the market remains challenging, as is evident by Blackpool’s performance, but the sector is, as always, putting up a strong fight. Provided that consumer and business confidence continues its upward trajectory, we can be optimistic about hotel performance throughout the rest of the year.”

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