London hotel room rates rise thanks to business trips

More business executives travelling to London, plus buoyant leisure demand, helped the capital's average hotel room rates rise 1% in the first half of this year.

The average cost of a London hotel room is £154.18, compared with £75.72 in Cardiff and £103.86 at Heathrow airport.

The figures, from corporate travel group Hogg Robinson, would have been even better without the impact of the snow at the start of this year.

"London is the only UK city to have experienced positive growth in rates in the first six months of 2010, with the UK regional markets — despite improved performances — yet to turn the corner," Hogg Robinson said.

But average rates have not yet recovered the 4% lost last year.

Hogg added that Moscow was still the most expensive city to sleep in, with an average room rate of £256.83. It was followed by Geneva, Hong Kong and Paris.