US and UK hotels share much in common — the fundamentals of hospitality have not changed. But the technology landscape, the regulatory environment, and the commercial pressures differ considerably. For operators managing properties in both markets, or planning to expand from one to the other, understanding these differences is essential to making sound technology decisions.
The OTA landscape: more similar than you might expect
Both the US and UK hospitality markets are dominated by the same major OTAs — Booking.com, Expedia Group (which includes Hotels.com, Vrbo, and others), and Airbnb. The mix, however, differs.
Booking.com has historically been stronger in the UK and European markets, while Expedia has a stronger share in the US. For operators expanding from the US to the UK, this means your OTA strategy may need to rebalance. Properties that have historically driven the majority of their OTA volume through Expedia in the US may find they need to optimise more aggressively for Booking.com in the UK.
Airbnb is a significant and growing channel in both markets, particularly for serviced apartments, guest houses, and boutique properties that offer a more distinctive experience than a chain hotel. The platform's commission rates and content requirements differ somewhat between markets, and its regulatory environment varies dramatically by city — short-term rental regulations in London, New York, and other major cities continue to evolve and tighten.
Google Hotel Ads has become an increasingly significant channel in both markets, offering independent hotels a route to compete for direct bookings against OTA listings in Google Search results. Any PMS or channel management solution under consideration should support Google Hotel Ads connectivity.
Payment gateways and currency handling
Payment infrastructure is one of the most practically significant differences between the US and UK markets for hotel operators.
In the US, Stripe, Authorize.net, and Braintree are the dominant options for independent hotel operators. Card-present transactions at the front desk and card-not-present transactions for online bookings are handled primarily via credit card, and the regulatory environment around payment processing is governed by PCI DSS standards applied at the federal level, with some state-level nuances.
In the UK, the payment landscape includes a broader range of options and some distinct characteristics. Worldpay is widely embedded in UK hospitality, particularly for older installations. Adyen has become the preferred option for operators wanting a single global payment solution. The UK's Faster Payments network and BACS bank transfer system mean that some UK corporate clients will expect to pay via bank transfer rather than card — something that requires your banking infrastructure to support receiving GBP bank transfers.
Strong Customer Authentication (SCA), part of the EU's revised Payment Services Directive (PSD2), applies to UK card transactions since Brexit was implemented into UK law. SCA requires additional authentication for card-not-present transactions above certain thresholds, and your payment gateway must support 3D Secure 2 (3DS2) to comply. US operators expanding to the UK who are not familiar with SCA requirements should ensure their payment infrastructure handles this before accepting UK bookings.
Data protection and privacy: GDPR in the UK context
Since the UK's departure from the European Union, the UK operates its own version of GDPR — the UK GDPR — which is largely aligned with the EU version but is administered by the UK's Information Commissioner's Office (ICO) rather than EU supervisory authorities.
For any hotel operator collecting personal data from UK guests — which is every hotel operator — UK GDPR compliance is a legal requirement, not an optional consideration. The key obligations include:
- A lawful basis for processing guest data (contract, legitimate interests, or consent)
- A Privacy Policy that names the Data Controller with a full address
- A cookie consent mechanism that requires explicit opt-in for non-essential cookies (pre-ticked boxes are not compliant)
- Data subject rights including access, correction, deletion, and portability
- Data transfer restrictions when sending UK guest data to systems hosted outside the UK or EEA
US operators are familiar with CCPA (California Consumer Privacy Act) and its growing equivalents across other states, but the UK GDPR framework is more comprehensive and the ICO has been active in enforcement. If you are targeting UK guests or have UK operational staff, take legal advice on your UK GDPR position.
Accounting software: different defaults on each side of the Atlantic
The accounting software market in the US and UK has different defaults that reflect the broader business software landscape in each country.
In the US, QuickBooks (in its various versions) is the most widely adopted accounting platform for small and medium businesses, including independent hotels. Sage is used by larger operators. Both are mature platforms with established integrations to major PMS providers.
In the UK, Xero has become the dominant platform for small and medium businesses over the past decade, and is widely used across the hospitality sector. FreeAgent has a significant user base among sole traders and micro-businesses. When selecting a PMS for a UK property, confirm that it integrates with the accounting platform your accountant uses — not all US-built PMS platforms have invested in UK-specific accounting integrations.
Employment and operational differences that affect your technology choices
Beyond the software itself, some practical operational differences between the US and UK markets affect how a PMS is configured and used.
Tipping and service charges. Tipping culture differs significantly between the US and UK. US hotels often need to manage service charge additions and tip pooling through their billing systems. UK hotels are more likely to add a discretionary service charge to the bill, which has different VAT treatment and accounting requirements.
VAT vs sales tax. UK hotels charge VAT (currently 20% on accommodation) which must be shown separately on invoices for VAT-registered business guests. US hotels charge state and local sales tax, which varies by location. If your PMS is generating invoices in both markets, it needs to handle both VAT and sales tax correctly.
Corporate booking and billing. UK corporate travel has a strong tradition of direct billing accounts and credit facilities for established corporate clients. If you are targeting UK corporate business, your PMS should support city ledger / direct billing functionality. This is less common as a requirement in the US market.
Technology procurement: vendor relationships in both markets
When procuring technology for properties in both the US and UK, be thoughtful about vendor support hours and time zones. A US-based PMS vendor with support hours aligned to Eastern or Pacific time may not offer timely assistance when your UK property has a problem at 8am GMT.
Similarly, a UK-based vendor may not have the legal or operational understanding to support US-specific requirements around PCI compliance, state tax handling, or US-based payment gateway integrations.
For operators with properties in both markets, the ideal technology partner has genuine operational knowledge of both, legal presence in both, and support capability covering both time zones. This is a relatively rare combination in the PMS market.
A note on banking for US-incorporated entities operating in the UK
A practical challenge for US-incorporated companies operating in the UK — whether a hotel group or a software provider serving the hospitality sector — is accessing UK banking infrastructure. Standard UK high street banks require UK incorporation for business accounts. For US entities needing to receive GBP payments and manage UK operations, Electronic Money Institutions (EMIs) such as Wise Business, Airwallex, and Revolut Business provide genuine UK sort code and account number details to US entities, enabling BACS and Faster Payments receipts. This is the recommended route for US-incorporated operators with UK guests or UK payroll obligations.
Summary: key considerations for dual-market operators
- Confirm your PMS and channel management covers both Booking.com (strong UK) and Expedia (strong US) at full connectivity
- Ensure your payment infrastructure supports GBP processing and SCA/3DS2 for UK card transactions
- Take advice on UK GDPR obligations if collecting data from UK guests or operating UK premises
- Select a PMS that integrates with both Xero (UK) and QuickBooks (US) for accounting
- Confirm VAT and sales tax handling in your billing system
- Choose a technology partner with genuine dual-market knowledge, legal presence, and support coverage
Dual-market expertise built in
HMCTS is one of the few PMS providers with genuine knowledge and operational presence in both the US and UK markets. Speak with our team about how we support operators in both jurisdictions.
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