Rooms yield soared during showpiece event, new report claims
SCOTTISH hotel revenues soared during the Commonwealth Games as hoteliers enjoyed a bumper month, according to new figures.
The monthly hotel survey by accountants BDO showed July rooms yield (revenue) rose 16.4% to £74.20 compared with a UK figure of £53.28; £50.59 in England and £45.80 in Wales.
In Glasgow, average room revenue soared 73.3% in July, from £45.31 to £78.53; Edinburgh revenues were down 1.5% from the previous July but, at £81.86, remained the highest figure in Scotland.
Aberdeen room revenues were said to be up 7.8% to £75.27 in July, while revenue in Inverness slipped 4.6% to £56.53.
Alastair Rae, a partner in the property, leisure and hospitality sector at BDO, said there was a “fantastic Commonwealth Games effect” on occupancy and revenue levels in Glasgow.
“Added to the continued performance of Edinburgh and Aberdeen, this propelled the urban hotels in Scotland to a strong performance,” he said.
“Whilst revenues remained strong during July, the fall in occupancy rates would tend to indicate that prices may have peaked. There will undoubtedly be an increase in August but whether this can be sustained into the autumn remains to be seen, but let us hope so.”
Denis MacCann, chairman of Greater Glasgow Hoteliers’ Association, said: “I think the story of the Games is that it was a huge success, not just for hotels, but for the entire city.
“Glasgow learned from London’s experience and the prices were not any more expensive than Edinburgh during the Edinburgh Festival. It’s the market dictates the price.”