Average hotel rates in London have jumped 31% over the last four years, according to data from hotel solutions company HRS.
The UK capital is the third most expensive city in the world, with an average rate of £141 a night in 2015.
According to HRS, London has benefited from the legacy of hosting major events such as the Royal Wedding and 2012 Olympic Games.
Only New York and Washington are more expensive.
Like London, New York has also seen a big jump in rates, rising 32% to £197 a night in 2015.
In contrast, Rio de Janeiro has suffered a 22% drop in rates to £113 but still features at number 7 in the international list.
Cities which recorded the biggest increases in hotel rates from 2011 to 2015 include Miami at 62%, Mexico City at 52% and Beijing at 43%.
Despite the increase, Beijing still remains one of the cheapest cities, costing just £66 on average per overnight stay in 2015.
Other cities with the lowest rates included Kuala Lumpur at £50 and Bangkok at £57.
In Europe, meanwhile, London has continued to hold its top spot while Zurich retained second place, costing £127 per night followed by Copenhagen (£108) and Paris (£103).
The cheapest rates in Europe are in Prague with average room rates of just £53, as well as Budapest at £58 and Berlin at £68.
