UK Hotels Forecast 2018 by PwC

Date: September 2017

About: Rather than just reporting on previous year’s data, this report is bold enough to predict the forthcoming year’s performance, based on good data from STR & PwC. Split between London & UK Provincial. It takes into account key income influences such as Brexit, tourist boost due to weak pound, supply chain expansion and general economic outlook for the UK and even some comment on cyber crime.

Cost: Free

Size: 48 pages PDF

THPT Comment: As one would expect from PwC, great data and back-up to their trading predictions. Useful info for any prospective investor.

Available from: Liz Hall from PwC or via THPT

Highlight Quotes: Hotels’ good fortune continues but as uncertainty weighs in, is this as good as it gets?

We don’t expect the growth in 2018 to match 2017, even though the outlook is broadly positive
for the UK hotels sector.

We now forecast year-on-year London RevPAR growth of 2.4%

Bonanza for London Heathrow in 2018 as around 2,700 rooms are set to open

The level of UK hotel deals stood at c. £2.3bn for the seven month period
to end July 2017, up only 10% from previous year; but is estimated
to reach c. £5.3bn by year end, primarily driven by the forecast
completion of some current larger portfolio transactions. This would
represent a 43% increase in volume compared to 2016 but would still be
significantly lower compared to the record level of investment into UK
hotels experienced in 2015.