Energy costs hit holiday profits

Building delays at a Center Parcs site hits profits

High energy costs and delayed expansion projects hit half-year profits at a holiday village operator.

Notts-based Center Parcs saw profits fall from £14.5m to £13.4m in the six months to the start of October.

Chief executive Martin Dalby blamed record prices for gas and electricity for increasing energy bills by £1.4m and this affected profits.

Council planning delays for its 5th site in Warren Wood near Woburn, Beds, also added £765,000 to costs, he said.

As well as starting pre-planning work on the £160m complex on the Duke of Bedford's estate at Warren Wood, Center Parcs converted 145 villas across its four sites at Longleat Forest near Bath, Oasis Whinfell Forest in the Lake District, Sherwood Forest near Nottingham and Elveden Forest, Suffolk.

The Elveden Forest site was devastated by a major fire in April 2002 and it was reopened in July 2003.

Mr Dalby said the results were "solid" and that the company remained "cautiously optimistic" for the full year.