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1. Hospitality job losses nudge down UK employment numbers
According to the United Kingdom's Office for National Statistics, the number of people employed in the U.K. fell by 0.3%, or 104,000, in March with the unemployment rate for those aged 16 to 64 now estimated to be 5%. Job losses in the hotel and hospitality industries have been blamed for the drop.
“Lower-paying sectors such as hospitality and retail have seen some of the largest falls in vacancies and payroll numbers, both in recent months and over the last year,” Liz McKeown, the ONS’s director of economic statistics, posted on social media.
ONS data also showed that there was a decrease in vacancies — a decline of 28,000 for the months of February to April — compared with the previous three months.
2. HVL plans resort in Hunter Valley, Australia
HVL Hotels plans to build the 65-villa Laval Hunter Valley, a 120 million Australian dollar resort ($86 million) in Australia’s Hunter Valley wine region. Business News Australia reports the property will be the “first new-build luxury resort of its scale in the Hunter Valley in more than 20 years.”
Laval Hunter Valley is expected to open late next year and will occupy 170 acres of the Ben Ean Estate near the town of Pokolbin, New South Wales. The resort is backed by Sydney-based Mondari Capital Group, and will include a two-level spa and a 10,000-bottle cellar. Ben Ean, formerly known as Lindeman’s, is one of Hunter Valley’s earliest vineyards and has been producing wine since 1858.
3. Southern Europe hotel gains boost continent
Performance improvements in southern European hotels have boosted April numbers across the continent, according to hospitality data from CoStar. In April, southern Europe hotels saw occupancy increase 1.5% year over year to 69.9%, an average daily rate gain of 3.5% to €175.07 ($203.29) and a 5% gain in revenue per available room to €122.34. Hotels in northern Europe posted similar performance gains.
For all of Europe, hotel occupancy reached 70% in April, up 0.6% year over year. ADR rose 1% to €144.26 and RevPAR increased 1.7% to €100.93.
4. UK government calls for evidence around proposed visitor tax
The U.K. government’s All Party Parliamentary Group for Hospitality & Tourism has asked the hotel industry to provide evidence as it mulls the imposition of visitor levies across the country. It was previously announced that the government would allow individual cities and regions to impose a levy, not that a tax would be imposed nationally.
The APPG said that “oral evidence sessions will take place on May 20, June 9 and June 23, where Members of Parliament and peers will hear from affected businesses. It will cover the principle of a levy itself, the potential impacts on the visitor economy and design and implementation of the levy. [We are] also seeking written evidence from interested businesses.” Advisory body Central London Forward has predicted a potential London hotel tax could raise up to £350 million ($468 million) annually.
5. Covivio invests €43.5 million in Torremolinos hotel
French real estate investment trust Covivio has invested €43.5 million to sign a 20-year fixed-term lease on a 440-room hotel in Torremolinos, Spain. Fergus Group operates the Costa del Sol-coastline property, the Tent Torremolinos. According to CoStar data, the seller is London-based Zetland Capital Partners.
Covivio said the property was renovated in 2023 and added the deal will generate “a guaranteed minimum rental yield of 7.1% and a target yield, including variable rent, of over 8%.”