Serviced Accommodation Demand in the UK: Corporate, Insurance & Contractor Stays Explained

Demand for serviced accommodation in the UK has shifted significantly in recent years. While many people still associate short-term lets with tourism, the strongest and most consistent demand now comes from corporate, insurance and contractor stays.

For landlords and property investors, understanding who is booking serviced accommodation and why is key to maximizing occupancy and long-term profitability. This guide explains the three main demand drivers shaping the UK serviced accommodation market.

What Is Serviced Accommodation?

Serviced accommodation refers to fully furnished properties available for short- to medium-term stays, offering more space, privacy and flexibility than hotels.

In the UK, serviced accommodation is increasingly used by:

• Businesses housing employees

• Insurance companies placing displaced families

• Contractors working on fixed-term projects
  

Operators like AV Hughes Properties focus on this non-tourist demand, providing reliable, compliant accommodation that meets professional standards.

Corporate Stays: Business Travel Without the Hotel

Why Companies Choose Serviced Accommodation

Corporate travel has changed. Businesses are moving away from hotels in favour of serviced accommodation because it offers:

• More space for working and living

• Cost savings on longer stays

• Fully equipped kitchens and laundry

• Privacy and quieter environments
  

Corporate stays typically last 1–6 months, creating strong, repeatable income for landlords.

What Corporates Look For

• High-speed Wi-Fi

• Dedicated workspaces

• Professional cleaning and maintenance

• Simple invoicing and contracts
  

AV Hughes Properties works closely with corporate clients, offering flexible booking terms and one-point-of-contact invoicing, making serviced accommodation easier for both landlords and businesses.

Insurance Stays: Consistent, Year-Round Demand

How Insurance Bookings Work

When a property becomes uninhabitable due to fire, flood or structural damage, insurance providers must house policyholders quickly, often for several months.

Serviced accommodation is ideal because it offers:

• Immediate availability

• Fully furnished, move-in-ready homes

• Locations close to schools, work and support networks
  

Insurance stays are typically medium to long-term and less price-sensitive than leisure bookings.

Why Landlords Benefit

• High occupancy levels

• Minimal void periods

• Stable, predictable income
  

At AV Hughes Properties, insurance stays form a key part of demand strategy, helping landlords maintain year-round occupancy without relying on seasonal bookings.

Contractor Stays: Supporting the UK’s Infrastructure

Growing Contractor Demand

Contractor stays are driven by:

• Construction and infrastructure projects

• Energy and utilities work

• Rail, road and commercial developments
  

Contractors often stay in one location for weeks or months, making serviced accommodation more practical than hotels.

What Contractors Need

• Comfortable beds and living space

• Parking and easy transport links

• Flexible stay extensions

• Reliable maintenance support
  

Serviced accommodation operators like AV Hughes Properties position properties specifically for contractor demand in high-growth locations such as Milton Keynes, Northampton and Manchester.

Why This Demand Is More Reliable Than Tourism

Unlike holiday bookings, corporate, insurance and contractor stays:

• Are not seasonal

• Are less affected by economic downturns

• Often involves repeat bookings

• Require longer minimum stays
  

This makes them particularly attractive to landlords seeking stable cash flow rather than short-term spikes.

What This Means for UK Landlords

Landlords who adapt their properties for professional stays can benefit from:

• Higher occupancy

• Longer average booking lengths

• Reduced marketing costs

• Less guest turnover

• 
  

Working with a specialist operator ensures properties are priced, positioned and managed correctly for this demand.

How AV Hughes Properties Supports This Market

AV Hughes Properties partners with landlords to deliver compliant, high-quality serviced accommodation tailored to corporate, insurance and contractor clients.

Their approach includes:

• Targeting non-tourist demand

• Managing bookings, compliance and guest care

• Securing longer-term stays

• Providing hands-off management with clear reporting
  

This allows landlords to benefit from the growth of serviced accommodation without the operational burden.

Final Thoughts

The UK serviced accommodation market is no longer driven by holidays alone. Corporate, insurance, and contractor stays now form the backbone of consistent demand, offering landlords a more predictable and professional income stream.

Understanding this shift and aligning your property to meet it is key to long-term success in serviced accommodation.

Thinking About Serviced Accommodation?

If you’re considering whether your property could benefit from corporate, insurance, or contractor demand, AV Hughes Properties can assess suitability and manage the process end-to-end.

Smart demand creates stable returns, and serviced accommodation is leading the way. Message us now: 📱+44 7845 025299

📧 info@avhughesproperties.com