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Whitbread's occupancy levels surged nearly 50% in the first two weeks of May, as the UK government eased travel restrictions and limits on overnight stays.
Up until May 17, only essential business travel stays were permitted, with occupancy levels steady at around 35%.
Post 17 May, trading has been strong, with high levels of demand in tourist locations in particular, driven by the anticipated bounce in leisure demand post reopening, and the period including May half-term school holidays.
Demand has also improved markedly across the rest of the estate, the company said, with the exception of central London and airport locations.
For the first quarter of FY22, however, total UK accommodation sales were 60.9% behind Q1 FY20 as a result of the Government restrictions that were in place throughout the quarter.
The majority of Whitbread's hotel estate remained open during the quarter, a function of the hotels only requiring low levels of occupancy to contribute to fixed costs. By 17 May, when overnight leisure stays were permitted, 98% of the hotel estate was open.
Meanwhile, total UK food and beverage sales were 86% behind Q1 FY20 reflecting the fact that all restaurants were closed from the start of the quarter until 12 April, when outdoor service was permitted in England.
At this point, 165 restaurants opened for outdoor service in the following weeks, while over 37 restaurants were opened in Scotland for restricted indoor service. The remaining estate, with the exception of a small number of restaurants that were being refurbished, reopened on 17 May. In the 30 day period from 17 May to 14 June 2021, total food and beverage sales were down 24.9% versus the same period in FY20.
The group's balance sheet strength has allowed investment in commercial initiatives, including the high-profile "Rest Easy" cross-platform advertising campaign, launched in mid-April, that is driving high levels of brand consideration and website visits.
According to Whitbread, actions to drive business demand are well-underway, including improved business account management, a relaunched business booker tool and a broadened Travel Management Company distribution platform.
Whilst these actions are helping drive a continued increase in business bookings, the company said a sustained recovery in office-based business demand is not anticipated until the Autumn.
During the quarter, 10 new hotels were opened, totalling 1,189 rooms and five hotels were disposed, totalling 169 rooms, as the group continues to take the opportunity to optimise the estate as and when opportunities arise.
In Germany, 30 hotels were operational at the end of the quarter, of which 19 were open, seven were being rebranded to Premier Inn, and four were temporarily closed due to low levels of demand in the market in those locations.