Half of South Africa hotels charging World Cup premium: survey

About half of hotels, lodges and other accommodation in South Africa will charge premium rates during the World Cup, but the tourism minister said Friday he believed the pricing was responsible.

"Half of all establishments will not be charging a premium at all," Marthinus van Schalkwyk said in a statement announcing the results of a survey of 2,479 establishments.

"I am satisfied that by far the majority of accommodation establishments are acting responsibly and are sensitive to our warnings about price hiking and its effects," he said.

About 47 percent of the establishments surveyed said they would charge no more than their normal peak season rates during the World Cup.

About 26 percent were charging premiums of at least 50 percent, while 11 percent were at least doubling prices during the month-long tournament, which kicks off on June 11.

Hotels were more likely to increase rates in Gauteng province, home to Johannesburg and three World Cup stadiums, where 65 percent of establishments planned premiums of at least 50 percent over peak season rates.

In Durban the figure was 53 percent, but in tourist hotspot Cape Town only 20 percent of establishments planned big increases.

South Africa expects up to 450,000 foreign tourists for the World Cup, although world governing body FIFA has warned the actual number will likely be lower.

South Africa hired the Grant Thornton consultancy to survey hotels in hopes of dousing concerns about steep prices for accommodation during the tournament.

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