It seems that hotels inside London can finally breathe a small sigh of relief in the next few months. This news comes after Pricewaterhouse Coopers gave a good outlook for hotels inside London. However, the hotels outside London were given another bleak forecast.

Pricewaterhouse Coopers Hotel Foecast 2010, which will be published today, predicts a 3 percent growth for hotels in London this year. This number will shoot up to a 5 percent growth in 2011. The average room rate is likely to rise 1.8 percent while occupancy is predicted to also rise 1.3 percent.

The UK hospitality and leisure leader at Pricewaterhouse Coopers, Robert Milburn, said that visibility is limited by reports of higher levels of transient visitors, more group conference bookings and a return of the business traveler all look positive. This goes double for London. Growth in the UK hotel industry reflects the Capital’s resilience to the recession. They think that the worst is over and London looks set to build and flourish.

London hotels’ revenue per available room fell by 9 percent in the first six months of 2009. However, by the end of the year, revenue per available room was down only 4.8 percent after five months of consecutive growth. In January, this trend just continued, and it gained almost 9 percent.

Of course this nice impressive outlook means higher costs for travelers. Over the coming year London should see revenue per available room increase by 5.8 percent and a further 7.8 percent in 2012. This will allow hotels to push up room rates by 3.5 percent to an average room rate of about £120.