InterContinental feels the heat from more London hotels

InterContinental Hotels Group has suffered increased competition as a flood of new hotels has opened in London, it said on Friday as it revealed a sluggish performance in the capital.

The Crowne Plaza owner said over-supply of rooms available had left London revenues “flat” in the third quarter.

Finance boss Paul Edgecliffe-Johnson added: “London is such a great market to have hotels in, everybody wants to open here.”

CitizenM and Four Seasons are among those to open new sites in the capital this year and next. InterContintental, which also owns the Holiday Inn brand, is also expanding, with new openings in Kensington, Wembley and Aldgate.

Edgecliffe-Johnson insisted there is still strong London demand and played down the threat of AirBnb.