Hotel investors and industry observers are refocusing on business as usual post-Brexit, and not yet overhauling their strategies.
PwC’s most recent UK forecast predicts cuts in corporate travel budgets that could hit London hotels in 2017, although not in tourism. The consultancy forecasts 77% occupancy rates for the next 14 months in the regions, with a London decline to 80%.
Starwood Capital’s Cody Bradshaw, senior vice president, says that the rest of Europe, particularly Germany and its robust trade partnership, has a vested interest in keeping the U.K.’s economy healthy.
Triggering Article 50 is expected in March, with formal ties finally cut in early 2019.