Budget Hotels Don’t Have To Cost The Earth — Photo by Whitbread PLC

The latest report from the IPCC has reiterated the global urgency of taking more ambitious action on climate change. For hospitality, as with many sectors of the economy, this will mean a rethink of much of the way we operate. According to one estimate, our industry contributes 1 in every 100 tonnes of emissions, underscoring our responsibility to act, and soon.

In UK hotels the highest demand for energy is for heating, and this has led to a general dependence on gas. Our analysis of Premier Inn energy use for example found that around 70% of our direct (scope 1 and 2) carbon emissions come from the burning of gas for water and space heating in our hotels and restaurants.

Thankfully, the industry’s past doesn’t need to define its future. New developments in architecture, engineering and design mean it will be possible to create a new generation of hotels that provide first-class customer experiences as well as net-zero emissions.

A truly net zero hospitality sector will need fresh thinking, cutting edge technology and sensible policy. Above all, it will need to maintain its broad customer appeal, protecting the planet without ever compromising on quality, brand standards, and affordability.

There is clear evidence that consumers want changes to the hospitality sector and will seek out stays that reflect their values. Our own research shows that business owners and decision makers are becoming increasingly environmentally conscious when it comes to business travel - an impressive 92% of respondents said it was important for their organisation to work with ‘like-minded, environmentally responsible companies’ for business travel. It is our view that there is broad, even overwhelming, support for a travel and hospitality sector that puts net zero commitments and sustainability at the centre of its strategy and operations.

Switching off the gas

Some forward thinking companies, including some luxurious sustainable resorts, are publishing decarbonisation plans, but net zero hotels should not be the exclusive preserve of 'full service', upscale operations - or operators running one or a handful of hotels. A majority of travellers and consumers care about sustainability, and it is the responsibility of all parts of the hospitality sector to cater to that desire. I would also argue that large scale, budget hotels like Premier Inn are better placed to reach sustainability goals given the focused and consistent services they provide.

As owners of Premier Inn, Whitbread is investing in a plan to transition to Net Zero by 2040 for our own emissions - scope 1 and 2. Having been on this journey for a while already as part of Whitbread's well-established Force for Good sustainability programme, we will this year be opening the doors of a first 'all-electric' Premier Inn hotel, the latest in a string of investments in innovative, sustainable properties.

At 195-bedrooms in the heart of Swindon town centre, the development will be an important proof of concept for us.

The hotel has been designed without a connection to a natural gas supply. Instead, it will be fully heated and powered by renewable electricity from the grid and by on-site photovoltaic (PV) solar cells. Using energy and heat recovery systems, the hotel will be thermally efficient, with a building envelope that is designed to meet BREEAM ‘Excellent’ standards.

To ensure all 195 rooms can guarantee a hot shower in the morning it will use new water-heating technology. Mitsubishi’s Q-ton heat pumps will be installed in the hotel which will absorb ‘free’ heat from the outdoor air and amplify it using an innovative two-stage compressor to generate hot water swiftly and efficiently. The hotel restaurant will also be equipped with energy efficient grills as we continue to introduce the technology across our estate as part of an objective to reduce cooking gas usage by 50%.

This hotel has the potential to inform the specification of all our newbuild hotels and may provide important insights for retrofitting our trading estate. While there is still a long way to go to entirely transform an estate of 840 hotels, our new all electric hotel will prove an important case study for future action.

It is critically important that hospitality can be a positive force in the fight against climate change, making small and decisive changes that will add up to a fundamentally transformed industry.

As the hospitality industry grows, it's imperative to think about sustainability and affordability as two sides of the same coin. The all-electric Premier Inn shows how we are thinking differently to become a more sustainable business. It also shows how the hospitality sector can issue an effective response to the IPCC’s urgent challenge, fostering an industry that is both sustainable and profitable.

1. Poll conducted for Premier Inn survey of 1,000 business travellers carried out between 08.08.22-12.08.22