Luxury Hotels Worldwide

Hotel brands suspected of price fixing

Three major hotel chains have come under scrutiny after a national newspaper claims it has seen evidence that they are price fixing with online travel agents.

Radisson, Thistle and Starwood were named by the paper as the groups supposedly colluding with OTAs.

An Office of Fair Trading investigation began last year into the possibility that hotel groups were stopping agents from discounting on rooms.

The investigation was kicked off by complaints from an online retailer claiming that it was told that if it discounted below a certain rate it would not be able to sell rooms in the future.

The Telegraph say it has seen documents that show Radisson, Thistle and Starwood are involved in the investigation.

The OFT says the enquiry is still at its early stages but was “an administrative priority”.

Source: Travel Mole (26 April 2011)

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