After several challenging years for the hotel industry, the Brussels Hotels Association (BHA) has reported positive performance in 2024.
Alongside last year's positive results, the BHA warns that the sector's competitiveness needs to be improved.
"Results from last year remain moderate compared to 2019 and even fall short of that reference year in terms of occupancy rates, a key factor in profitability," it stated on Thursday.
In the Brussels-Capital Region, the average occupancy rate reached 72.1% in 2024, an increase of 2.2 points from the previous year, but still 3.4 points below the 2019 rate. "The trend is positive, although the target occupancy rate of 80%, considered a real balance point for the sector, remains distant," the organisation continued.
'Increase is insufficient'
The association also criticised the fact that revenue per available room grew by just 1.1% compared to 2023 and by 16% compared to 2019, which is still below inflation.
"The increase in hotel revenue is insufficient relative to the rise in labour costs in the hospitality sector and the surge in energy costs." The BHA argues that this shows Brussels' competitiveness in the European market is sub-par.
"The key to returning to normal largely depends on the hoped-for increase in activity and tackling the competition from illegal residential accommodations (nearly 25% of the market)," it said.
"It is more necessary than ever to continue efforts to rekindle past growth," the BHA concluded, calling on regional and federal governments to take action in this regard.
