Hotels put room prices up in preparation for Madonna’s arrival

By BRIAN FERGUSON
Published on Friday 10 February 2012 00:00

HOTEL prices in Edinburgh are already soaring for the night of the Murrayfield concert even before tickets for Madonna’s show go on sale.

Le Monde on George Street is charging £300, a room at the Rutland Hotel in the West End will cost £280, the Balmoral is charging £260 and Hotel Missoni £250.

Even chains such as Novotel and Apex are charging £200 and £188 a room respectively for the night of the concert on 21 July.

Business leaders believe the one-off Madonna show could generate in excess of £60 million for the city – roughly the same as the two Six Nations fixtures against England and France at Murrayfield in 2012.

Hotels have already come under fire from the city council for hiking up their prices during major events like Edinburgh’s Hogmanay and the Fringe. However, the local authority’s attempts to impose a tourist tax, to help pay for the city’s costs involved in major events and festivals, were rejected by the Scottish Government.

Deputy council leader Steve Cardownie said: “These prices do leave a sour taste in the mouth.It undermines the credibility of the hotel industry when it complains about the prospect of a tourist tax and then adopts these kind of tactics.

“It is bit unfair on people as it adds a lot to the price they are already paying for tickets to see Madonna.”

However, Colin Paton, chair of the Edinburgh Hotels Association, said: “I don’t see why the hotel industry gets beaten up over this kind of thing, it’s exactly the same as companies like easyJet do.

“If you are experiencing high demand, or are anticipating it, then you price your rooms at what you think you can sell it at.

“Some people will think they will get a good deal on a room now, while others will take the risk that prices may come down.

“You will pay a lot less for a Saturday night in February, but that’s because there is a lot less demand, unless there is a big event like the rugby on.”

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mobocaster

Friday, February 10, 2012 at 10:54 AM

Time to regulate the rates I think and if that includes an element of tax, so be it. Make the hoteliers set and stick to them - I don't know how often I've had Edinburgh hotels take a booking at one rate and later try to push it up by a substantial sum. This has never happened to me anywhere else!

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Sally Longlegs

Friday, February 10, 2012 at 10:18 AM

Time we had a room tax. Hotels exploit any situation. Room rates in Edinburgh are a disgrace. And the tax should be a percentage not a flat rate.

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