An investigation into reports of government agencies offering low-cost daily room rentals that compete with hotels and providing banqueting and other services for the general public is to be launched, according to Thienprasit Chaiyapatranun, president of the Thai Hotels Association (THA).
This issue is particularly prevalent in tourist provinces, with temples, schools, and universities being the primary culprits despite lacking the necessary hotel operating licenses. These services are often provided under the pretext of offering students practical learning experiences,
Licensed hotel businesses are already facing high operating costs, especially with the government's plan to raise the minimum wage to 400 baht per day this year and 600 baht per day by 2027.
In addition to competing with unlicensed hotels, these businesses are now competing with daily room rentals offered by temples and universities, some of which have 100-200 rooms and can host large events for up to 1,000 people.
Once the association completes its investigation, it will present the findings to relevant government agencies, such as the Budget Bureau, to consider this issue. The question will be raised as to whether temples, schools, or universities should be allowed to operate and profit from accommodations and event spaces.
In Thienprasith's view, these institutions should only provide such services to their internal staff, not to the general public for profit, as these facilities are government-owned, not state enterprises.
“For example, hosting weddings that accommodate over 1,000 people is on a very large scale. It doesn’t make sense. Moreover, when temples and universities renovate their buildings, they use government funds, whereas hotels must rely on their own budgets or loans for renovations. This is extremely unfair to hotel operators," the THA president emphasised.
