HOTELS and airlines are suffering because of the economic
slowdown, research by American Express has revealed.
AMEX’s latest corporate travel index has found hotel rate
growth in Western Europe has slowed quarter on quarter with rates now increasing
between 1.3% and 2.3% while occupancy levels in business destinations including
Brussels, Rome and Paris have eased by 10%.
Meanwhile airfares from the UK to North America and Western
Europe are showing only marginal growth, with fares on some routes actually
falling.
AMEX director of consulting services Matthew Davis said: “We
are just beginning to see the effects of the slowing economy, although the US
has been in decline for some time, Europe had very much adopted a ‘wait and see’
attitude. With minimal growth in key markets, such as Germany, and across the
board cutbacks in the rest of Europe, it is evident that the effects are now
being felt.”