Rising hotel room rates ‘threatening’ inbound tourism

The rising cost of staying in Irish hotels is expected to overtake pre-recession peak levels by the end of this year, raising concerns over how overseas tourists might start viewing Ireland as an affordable travel destination.

New data from accountancy and business advisory firm Crowe Horwath detail an Irish hotel sector in rude health, but one in potential risk of overheating and damaging the company’s overall tourism product.

According to Crowe Horwath, last year saw average room occupancy rates increase from 67.8% to 71.1% and average room rates rise by €10 to €92.15.