Heavy discounting by InterContinental Hotels Group saw its revenues fall by 24 per cent in the first quarter, with room rates continuing to come under pressure from declining numbers of business and leisure travellers, the London-listed hotel operator said on Tuesday.

But the group, whose brands include Crowne Plaza, Holiday Inn and Stalybridge Suites, said it was outperforming its rivals as occupancy levels started to stabilise, adding that forward bookings showed no further deterioration in demand.