Boost for NI hotels as daily rate hits record high – over 50% up on pre-pandemic prices

The figures obtained exclusively by Business Telegraph from Co Star, formerly known as STR, reflect a bounce back relative to the ravages of the pandemic for hotels.

But an industry boss cautioned against interpreting the figures as a sign that all was completely well in the industry, as hotels continue to battle high costs.

Average figures for Belfast show a jump from 2019 similar to the levels seen across the rest of Northern Ireland.

In June that year, the average daily rate for hotels across Northern Ireland was £83.80. At £129.52 in June this year, the rate was 55% higher.

And in Belfast, the rate has gone up from £84.09 in June 2019 to £132.55 in June 2024, a jump of 58%.

There are a variety of measures of the strength of business in the hotel trade. Occupancy rate describes the percentage of the total available rooms being used by guests at any one time.

The pandemic saw very low occupancy rates, with the figure standing at 14.1% in June 2020.

Occupancy rates of rooms have remained relatively steady from 2022, albeit this June saw a 2% drop from the prior year to 81.7%.

Revenue per available room (RevPAR) has also risen from the levels recorded in June 2019. The figure then was £70.63. June 2024’s RevPAR was recorded as £105.78, an almost 50% increase.

However Janice Gault, chief executive of the Northern Ireland Hotels Federation, warned against using a “snapshot” of business to draw large conclusions.

Mrs Gault pointed out that the summer has been challenging for many in the trade due to poor weather. She further warned that the industry is facing cost increases due to the rising prices of energy, labour and consumables.

News Catch Up: Monday 26 August