Premier Inn owner Whitbread has today reported a 80% fall in first-quarter like-for-like UK sales as it noted improving demand for hotel rooms in tourist spots but subdued demand in London and elsewhere.
Of its more than 1,200 Premier Inn hotels and pubs across the UK and Ireland, Whitbread said more than 270 hotels and some 24 restaurants had reopened after lockdowns as had all of its hotels in Germany.
It plans to reopen the rest by the end of this month.
"It is still very early days to draw any conclusions from our booking trajectory, especially as there has been volatility in hotel performance in other countries that relaxed controls before the UK," said CEO Alison Brittain.
Brittain has been touted as a possible candidate to lead Lloyds Banking Group after its CEO António Horta-Osório said yesterday that he will step down next year.
"The tone of the statement suggests some optimism that areas that benefit from tourism should be able to cope, however with sports events still closed to the wider public, and business bookings also subdued, it is likely to be a long road back," CMC Markets analyst Michael Hewson said.
The travel and leisure sector has been among the worst hit by the pandemic.
Whitbread, which started out as a brewery in the 18th century, cancelled its dividend and raised £1 billion in a cash call in May.
The hotel operator has warned that demand recovery for its hotel rooms would be slow following the unprecedented health crisis.
