Capital is poor relation as Scots hotels prosper

SCOTTISH hotels outperformed their counterparts south of the Border in October, with both revenue and occupancy levels returning to growth.

Figures from accountancy firm PKF show occupancy at three and four star hotels rose 2.6 per cent in Scotland following a dismal September. Rooms yield, the industry measure of revenue, was up 5.5 per cent.

The performance compares to small declines in occupancy and revenues in England and Wales, but not all parts of Scotland enjoyed the same success.

Alastair Rae, a hospitality sector expert at PKF, said the figures concealed widely differing performance levels.

“In Aberdeen the very high improvements in occupancy and revenue continue a trend of improving fortunes for the city,” he said. “Specific causes are likely to have been the continued high oil price coupled with some conferences during October including the Scottish NHS Forensic event which boosted activity.”

Glasgow also had a good month, helped by major concerts by Muse and the Killers in the city.

However, Edinburgh’s hotels continued to experience a downturn in occupancy and revenue. Rae said the ongoing domestic and international economic difficulties, alongside unfavourable exchange rates, hit leisure visitors to the city.