Scottish hotels had the highest income and occupancy levels compared to the rest of the UK during May according to the latest report by accountants and business advisers, BDO.

The firm’s monthly hotel survey found that Scottish Rev Par rose by 10.6 per cent in May compared to an increase of 3.9 per cent in regional UK; up 2.5 per cent in England; and up 7.6 per cent in Wales.

The report also found that revenue in Scotland was at £58.94 compared to £46.81 in regional UK, while occupancy rose to 79.6 per cent in Scotland compared to 75.7 per cent in regional UK.

In Scotland it was a tale of two cities with revenue rising by 19.8 per cent in Edinburgh and 16 per cent in Aberdeen. Inverness increased by 6.4 per cent while Glasgow rose by just 0.2 per cent.

Alastair Rae, partner in the property, leisure and hospitality sector at BDO, said: "These figures are positive and indicate a return to form for the Scottish hotel sector, which has been going through a difficult period.

“They indicate how well the hotel sector is doing in Aberdeen. The oil and gas industry continues to drive high levels of occupancy and in particular revenue in the granite city which – at £77.02 – was the highest in the UK outside London.

“Edinburgh also experienced a considerable upturn during May, with occupancy of 85.3 per cent - the second highest in the UK after Portsmouth - and revenue of £74.23, which was the second highest in the UK after Aberdeen,” added Rae.