Hotel profits predicted to fall by 70%

PROFITS at Irish hotels fell 25% to hit a 15-year low in 2008, and could fall by as much 70% this year, threatening the survival of many establishments, according to accountants Horwath Bastow Charleton (HBC).

A survey by HBC shows profits fell 25% last year as hotels struggle to pay back €7 billion in debts while cutting room prices by a quarter to attract business.