Southern Europe Declines, But France, Portugal, Poland, Latvia, And The Czech Republic Thrive In June 2025: European Hotel Industry Sees Varied Revpar Trends

Published on September 2, 2025

The European edifice manufacture displayed mixed results successful June 2025, showing a important quality successful capacity crossed various regions. According to caller data, nan wide maturation successful Revenue Per Available Room (RevPAR) successful Europe was modest, but definite markets, particularly successful France and Eastern Europe, knowledgeable affirmative results, while countries for illustration Germany and nan UK saw downturns. This variety is linked to respective factors, including world events and section marketplace conditions.

RevPAR Growth Across Europe

Europe’s edifice manufacture reported a humble summation successful RevPAR of 1.4% for June 2025, driven by a flimsy emergence successful occupancy rates, which saw a summation of 0.5 percent points. However, Average Daily Rate (ADR) knowledgeable a mini diminution of 0.8%, indicating that contempt much rooms being occupied, nan rates charged per room were somewhat weaker. The region’s ostentation complaint was reported astatine 2% for June 2025, adding to nan broader economical challenges for hoteliers.

Germany and nan UK Experience Declines

Germany, 1 of Europe’s largest edifice markets, saw a sizeable dip successful its edifice capacity successful June 2025. RevPAR dropped by 20.3% erstwhile compared to nan aforesaid period successful 2024. This diminution tin mostly beryllium attributed to nan absence of nan Euro 2024 shot tournament, which had provided a important boost to nan marketplace successful 2024. Year-on-year comparisons besides showed a 7% driblet successful RevPAR, pinch some ADR and occupancy rates falling. So far, successful 2025, Germany’s RevPAR has decreased by 1.2%, continuing nan downward inclination from nan first half of nan erstwhile year.

The United Kingdom followed a akin pattern, pinch a 0.8% alteration successful RevPAR from January to June 2024. Although occupancy rates remained steady, request for edifice rooms lagged, preventing a important summation successful ADR. Consequently, hoteliers faced a 3.3% driblet successful RevPAR for June 2025.

Southern Europe Shows Slowdown

In confederate Europe, markets that had earlier shown promising capacity successful 2025, peculiarly coastal areas, started to slow down successful June. Spain, a awesome destination successful nan region, saw a humble 0.8% summation successful RevPAR, driven by a 1.7% emergence successful ADR. However, this summation was offset by a diminution of 0.8 percent points successful occupancy rates. Similarly, Portugal’s edifice marketplace showed a flimsy alteration successful occupancy rates, resulting successful a 0.3% dip successful RevPAR, contempt a 0.7% emergence successful ADR.

Greece, facing a challenging period, knowledgeable a notable 4.1% driblet successful RevPAR, pinch some occupancy rates and ADR declining during nan month.

France and Eastern Europe Shine Brightly

In contrast, France’s edifice manufacture emerged arsenic a standout performer successful June 2025. The state saw a important 13.8% summation successful RevPAR, chiefly fueled by a beardown 3.5 percent constituent summation successful occupancy rates. Paris, successful particular, knowledgeable a surge successful demand, peculiarly from world tourists, which allowed hotels to summation their ADR by 8.7%. This maturation marks nan highest RevPAR summation successful Europe during nan month.

Eastern Europe besides demonstrated affirmative trends. Poland, Latvia, and nan Czech Republic each reported increases successful RevPAR. Poland saw a emergence of 8.9%, while nan Czech Republic knowledgeable a much robust 12.6% increase. Latvia besides performed well, pinch a 4.9% summation successful RevPAR, acknowledgment to gains successful ADR.

Corporate Demand Remains Weak

Despite these location differences, 1 communal inclination crossed Europe is nan persistent weakness successful firm demand. Many businesses person yet to return to pre-pandemic recreation patterns, impacting edifice capacity successful awesome business hubs. As a result, nan edifice manufacture is turning to different strategies to boost revenue, specified arsenic offering further services to summation customer spending.

Looking Ahead: Challenges and Opportunities

While nan wide maturation successful nan European edifice manufacture remains modest, definite markets proceed to thrive. With world tourism connected nan rise, peculiarly successful France and Eastern Europe, hotels are uncovering caller opportunities successful catering to high-demand visitors. However, nan ongoing challenges successful firm recreation and fluctuating section conditions propose that nan manufacture will request to accommodate and innovate to support accordant maturation successful nan coming months.