BUDGET hotel operator Whitbread has revealed strong like-for-like sales, but says plans to open more hotel rooms have been put on hold.

The firm, which owns Premier Inn, says it will open 500 fewer rooms than expected in the financial year.

Bosses say they plan to open 3,500 additional hotel rooms, down from 4,000, which they partly attribute to a delay in opening a central London Premier Inn.

However, they said Whitbread’s financial results are strong and expect to create jobs.

Its hotel move came as likefor- like sales at Premier Inn increased by 5.4 per cent in the third quarter to November 28.

Whitbread’s performance was also boosted by the success of its Costa Coffee chain, where sales improved by 4.9 per cent.

Earlier this year, Whitbread revealed plans to be part of a £30m North- East leisure development.

The company wants to build an 80-bedroom hotel in Darlington as part of a proposed overhaul of a former bus station, which could also include a nine-screen cinema and restaurants and bars. It already has hotels in Darlington – at Morton Park – Bishop Auckland and Newton Aycliffe.

Andy Harrison, chief executive, said: “We have delivered another strong quarter, with total sales up 13.8 per cent and like-for-like sales up too, driven by the strength of Premier Inn and Costa and an improved performance from our restaurants.

“For the year to date, we have grown our total sales by 13 per cent, driven primarily by the continuing expansion of our Premier Inn and Costa networks.

“Premier Inn’s total sales have grown by 12.9 per cent, with the opening this year of 22 hotels with 2,718 new rooms, including two new international hotels.

“Costa’s total sales have grown by 20.8 per cent, with the opening of 246 net new stores worldwide, including 133 in the UK and 54 in China, bringing our total number to 2,773.

“We should continue to generate substantial value and create many jobs.”

The group added its Beefeater and Brewers Fayre restaurants improved like-forlike sales by 1.8 per cent, but warned the sector continued to be challenging, especially outside London.