Small business market remains firm for UK hotels

Small businesses are continuing to push plenty of business the way of hotels despite tough market conditions, says a survey from American Express. More than half (54%) of small firms surveyed said their need for hotel accommodation had increased over the last 12 months. And 65% predicted a further increase in the year to come.

Small businessmen are also resisting the trend to trade down to cheaper hotels. Four out of 10 said they spend an average £200 a night on a mid-range hotel room when travelling on business, while 42% spend up to £125 a night.Only 11% stay at budget hotels, spending up to £75 a night.

Hans Lindh, head of hotel and restaurant industry at American Express Establishment Services, said: 'Only 19% of small businesses downgraded their standard of hotel accommodation last year.' Instead, they saved money by flying with budget airlines, using the train for domestic travel rather than flying, and reducing corporate hospitality.

American Express surveyed more than 100 small business owners at the Smarter Business Exhibition at Earl's Court, London, on 2-4 June.