Blackpool hoteliers struggling to keep up with neighbours

Hotels in the North West offer a mixed outlook for the sector, according to the latest report from accountancy and business advisory firm BDO LLP.

Manchester and Liverpool hotels are experiencing a sunny start to the summer as revenue and occupancy grew, but Blackpool’s hoteliers are struggling and lagging behind.

The survey found that revenue for Liverpool rooms rose by 8.5% and Manchester by 4.4%. The average increase was 2.4%.

Holiday resort Blackpool suffered a 15.8% decrease in occupancy levels however, leading to a 20% fall in revenue in June (compared to June 2012).

Occupancy levels and the price paid per room increased steadily elsewhere in the North West. 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.”