InterContinental Hotels Group (IHG) has reported a 5 per cent rise in operating profits from £106m to £111m for the first half of the financial year.

The company partially gave credit for the results to an improvement in the performance of the global hotel industry, which has been lifted by low cost airlines, increased internet usage, the strength of the Chinese market and people’s longer lifespans.

Andrew Cosslett, chief executive of IHG, said: “The company has had a good half. Signings continue to run at record levels with almost 55,000 rooms signed into our development pipeline.

“Strong demand with relatively low levels of new supply is driving up room rates and our brands continue to outperform the market in most of our major regions and geographies. Our outlook for the year is positive.”

IHG operates more than 3,800 hotels across the world under the InterContinental, Crowne Plaza, Hotel Indigo, Holiday Inn, Holiday Inn Express, Staybridge Suites and Candlewood Suites brands.