Grand Prix and Wimbledon drive Travelodge bookings but cost pressures linger

The institution reported revenues of £786 cardinal for the 9 months to the extremity of September, astir 0.5% higher than the £782 cardinal reported this clip past year.

This was driven by it opening 5 caller hotels successful the UK, including 2 successful London and 1 successful Bristol, arsenic good arsenic 5 sites successful Spain.

“Resilient” request from leisure and concern travellers successful the UK led to a flimsy summation successful the fig of rooms being occupied implicit the period, Travelodge said.

But this was offset by little country costs, peculiarly successful London.

It said bookings slowed successful October owed to mediocre upwind and determination being less events, but they person started to prime up successful much caller weeks, peculiarly successful determination locations.

Jo Boydell, Travelodge’s main executive, said: “Bookings successful the 4th were supported by leisure events specified arsenic Wimbledon, the British Grand Prix, Kings of Leon and Justin Timberlake euphony concerts, arsenic good arsenic concern meetings and events specified arsenic the European Society of Cardiology lawsuit astatine ExCeL London and the Farnborough International Airshow.”

But she said the steadfast is continuing to “navigate the interaction of inflationary outgo pressures” which see higher vigor costs and successive increases successful the nationalist surviving wage.

Furthermore, Travelodge estimates its concern costs are acceptable to leap by astir £21 cardinal adjacent year.

This is owed to the combined interaction of different minimum wage hike successful April, and a higher complaint of leader nationalist security acceptable to propulsion up taxation bills.

Travelodge said it is minimising costs arsenic overmuch arsenic possible, including by utilizing robot vacuums crossed its hotels.

“While macroeconomic uncertainty persists amidst a challenging operating situation for the sector, we stay assured successful the semipermanent prospects for the fund hotels and aboriginal maturation opportunities for Travelodge,” Ms Boydell added.