Survey reveals most expensive cities for hotel stays

New York remains the most expensive of all major cities for hotel accommodation following a 7% year on year increase in prices to an average of £168 a night.

This is followed by Boston and San Francisco, where rates average £158 and £152 respectively.

London remains the most expensive capital in Europe, according to latest figures from Hotel Solutions Provider HRS.

It found that room rates in all the top UK destinations were higher in the third quarter of this year compared with the same period of 2014 and in London they have rocketed more than 17%.

Average room rates in the capital have reached almost £134, placing the city ahead of Zurich and Copenhagen.

Edinburgh holds its position as the second most expensive city in the UK, where hoteliers charge an average of £119 a night following a rise of almost 18% over the past year.

Rates in the Welsh capital also rose by more than 18%, but Cardiff is still by far the cheapest UK capital with room rates averaging just £81 a night.

Leeds has seen the biggest leap in rates, which are up 27% year on year to an average of £84 a night.

HRS managing director for the UK and Ireland Jon West said: "The UK is on track to be the fasting growing G7 economy this year and this could be reflected in the price increase of hotel rooms across the nation.

"Thanks to the economic recovery, tourism is picking up again and it appears businesses are also starting to feel more confident in sending employees back out on travel.

"Regional capitals are often popular destinations which can explain the rate development in London, Edinburgh and Cardiff. Leeds’ room rates could have increased thanks to the legacy of Tour De France which kicked off in Yorkshire this summer and attracted much media attention, showcasing the area to potential visitors.

"Whilst this spells good news for hoteliers, it reinforces the fact that now’s the time for those responsible for buying travel to review the effectiveness of their hotel programmes to ensure that their companies really optimise their hotel procurement and make substantial savings."

On the rest Continent, average room rates have risen just 2% compared to 17% in the UK.  

Prague offers the cheapest deals, averaging €69 per night, followed by Warsaw and Budapest at €71 per night.

Amsterdam, Moscow, Oslo and Stockholm have seen drops in room rates in the last quarter compared to 2013, with falls of 3.1%, 7.9%, 10.4% and 3.2% respectively.

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