Hotels 'Hiking Up Rates' During The Olympics

Hotels are charging premiums of up to 300% to families staying in London during the Olympics, according to research.

Those in the centre of the capital were £2,891 a week or 139% more expensive on average over the period when the sporting event is taking place than after the Games, according to a study for Santander.

Researchers also looked at prices near the Olympic Park in east London, which is hosting up to 180,000 spectators a day, and found that while most hotels were booked up, one of the few with vacancies was charging an extra £5,054.

This was the equivalent of a 301% increase on its rates after the Games.

The study compared the cost of a week-long stay for a family of four in two rooms starting on the day of the Olympics opening ceremony next Friday with prices in late August, after the event has finished.

Four star hotels in central London were found to be particularly likely to apply big rate hikes, with one venue increasing its prices by 245% over the period, an uplift of £5,666. A Santander spokesman said: "This research highlights just how enormous the demand to stay in London during this summer's biggest sporting event is. "The fact that the few limited rooms available near the Stratford Olympic Park can charge such expensive rates demonstrates how holidaymakers are willing to pay the extra costs."

The increases were found to be bigger than a typical London hotel price hike of 54% over the bank holiday weekend marking the Queen's Diamond Jubilee, which was recorded in a previous study.