Premier Inn owner Whitbread is to cut its spending in 2009 despite reporting a “resilient” performance this year.
The company, which also owns Costa Coffee, will reduce its maximum spend from £300m to £200m in response to the recession.
Chief executive Alan Parker said trading was “robust” but there was a softening of growth in November.
He said: “We have been reviewing our future development plans as the macro economic situation has become increasingly challenging. We believe that while this environment remains we should take a more prudent approach to organic expansion.”
The company will still grow but focus on new high returning projects, he added.
The company’s interim results showed that total group sales rose 13.4% year on year in the 39 weeks to November 27. Whitbread Hotels and Restaurants saw total sales jump 11.5%, while Premier Inn revpar is up 5.0%.