BUDGET hotel chain Travelodge yesterday reported a rise in revenues even though riots across London cost the firm £1m in lost sales and cancellations.
Revenues from its 480 hotels were up 15 per cent in June, July and August.
The firm cut prices by five per cent, taking the average room rate down to £42.
London performed strongly compared with other regions, despite the disturbances that flared up across the capital last month.
Revenue per room in the capital was up seven per cent, compared with one per cent elsewhere.
Chief executive Guy Parsons (pictured) said: “For the two week after the riots we had more cancellations than bookings. People abroad looked at images on their TVs and thought the whole of London was on fire.”
However, he said London was proving resilient, while some other cities had seen slower business as a result of austerity measures.
He said that cash-strapped Britons were taking “staycations”, which was helping the firm.
Travelodge, which is owned by private equity house Dubai Investment Capital, is opening nine new sites across the UK in the run up to Christmas. Parsons said: “We are expanding as we are offering what customers want in terms of price and location.” The company will hire 160 new staff before Christmas.