Shortage of hotel staff at ‘critical’ level, according to PwC report

The UK hotel sector faces continued intensifying pressure on labor costs, with labor shortages “at a critical level”, and trade is not expected to return to pre-pandemic levels, even in recent years. ‘by the end of next year, according to a survey.

The 2021/22 hotel forecast by accounting firm PricewaterhouseCoopers places occupancy rates by the end of 2022 for London between 70% and 90% of pre-pandemic levels. For other parts of the UK, occupancy rates are expected to be between 87% and 96% of pre-pandemic levels.

PwC sees the average daily rate for hotel rooms in London rebound to £ 112.26 next year, up £ 27.78 from 2021.

He said other parts of the UK had ‘seen varying fortunes throughout the pandemic’, saying: ‘Stays have given a significant boost to coastal and leisure destinations, with occupancy and a ADR in August 2021 significantly outperforming August 2019, but some cities and non-tourist destinations are still experiencing a slowdown in demand.

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PwC added: “For areas boosted by travel demand, the summer of 2022 could once again experience difficult business conditions if international travel is back on the domestic market agenda and pent-up demand for guaranteed sun is released.

“The latest research from PwC shows that 37% of people still plan to vacation in the UK in 2022. Overall, overall demand for stays is expected to be similar to summer 2021, but more evenly distributed throughout the year.”

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PwC underscored its view that “the speed of the recovery will be the major issue in 2022, but will be determined by factors beyond the control of the industry; the pace and magnitude of the return of tourism, international business and national and events “.

The accounting firm added: “An encouraging sign for hoteliers, when asked, 63% of those surveyed said they plan to take more or the same number of vacations in 2022.”

Peter M. Doran