■ BRITISH AIRWAYS is to resume flights to Sri Lanka next year after a 15-year absence from the Indian Ocean island. BA will fly from Gatwick to the Sri Lankan capital Colombo, via Male in the Maldives, from March 31. The carrier stopped flying to the island in 1998 due to the country’s long-running civil war which ended in 2009.
■ REGIONAL AIRLINE FLYBE will add a new route from Southampton to the French city of Nantes from the start of the winter season. The daily service to France’s sixth largest city will run year- round and start from October 28. Nantes will be Flybe’s sixth French destination from Southampton. Flybe will serve 22 destinations from the South Coast for winter 2012/13, including Limoges, Bergerac, Rennes, Chambery, Geneva and Salzburg.
HOTELS Moscow
XXXXXXXX
News
MOSCOW REMAINS WORLD’S MOST EXPENSIVE CITY FOR HOTELS
LONDON HOTEL RATES rose by 5 per cent in the first half of 2012 but the Olympic host is only ranked as the 21st most expensive destination in a list of the top 50 global cities. Average room rates in London rose to £164 between January and June, compared to £156.82 for the same period in 2011, according to data released by HRG. Moscow remains the most expensive city for the eighth consecutive year, although rates fell slightly when valued in sterling to £258.11 per room (rates rose by 3 per
AIRPORTS
LUTON AIRPORT DEAL BOOSTS EXPANSION PLANS
cent in local currency year-on-year). Lagos, in Nigeria, was the second most expensive city with an average rate of £217.05, due to its location as a key gateway to the nation’s oil industry. Mexico City recorded the biggest year-on-year rise of 30 per cent in local currency. HRG found that Latin American
cities saw the largest increases while key gateways in the eurozone fell, or were flat, year-on-year. Rates in Barcelona dropped by 26 per cent to £112.65, while Madrid was down 7 per
cent to £119.72. There were also price falls in India, while the key Chinese gateways of Beijing and Shanghai both saw 8 per cent rises. In the UK, Manchester and
Newcastle rates were flat, with averages of £93 and £91.77 respectively. There were slight increases in Edinburgh (1 per cent) and Aberdeen (up 3 per cent to £110.21). Dublin saw hotel rates fall 6 per cent to €119 whereas Belfast prices rose 8 per cent to £87.87. ■ See Databank, p24
LUTON AIRPORT’S PLAN to expand capacity by more than 50 per cent has been boosted after the airport’s owner extended its contract with the current operator. The Bedfordshire airport, owned by Luton Borough Council, has signed a deal to extend the contract with operator London Luton Airport Operations Limited (LLAOL) by three years, to 2031. The airport now plans to submit a planning application this autumn to increase capacity from the current annual limit of 11.5 million to 18 million, which will be achieved within the airport’s existing boundary and runway. Luton announced in January plans to expand its capacity and held a consultation with residents in the area. The record number of passengers the airport has handled in a single year was 10.3 million in 2008. Luton Airport chairman Robin Harris said: “Given Luton
airport’s position as the single biggest asset owned by the people of Luton, this agreement and its potential benefits for wealth in the region’s economy are momentous.” The airport is home to no-frills giant Easyjet and leisure specialist carrier Monarch. It is also a major base for Polish airline Wizz Air and Ryanair.