Delhi Hotel Prices Skyrocket Ahead of Major AI Summit, Prompting Calls for Government Intervention
As the national capital prepares to host the prestigious India AI Impact Summit 2026, hotel room rates in Delhi have surged dramatically, leading to widespread traveler frustration. A comprehensive survey conducted by LocalCircles, released on February 10, 2026, has uncovered strong public sentiment in favor of government-imposed price ceilings to prevent what many describe as profiteering by hotels.
Survey Details and Demographic Breakdown
The LocalCircles survey gathered responses from an impressive 34,000 individuals spread across 307 districts throughout India. The participant pool demonstrated a diverse geographic and gender representation:
- Gender distribution: 67% male respondents and 33% female respondents
- Urban-rural breakdown: 47% from Tier 1 cities, 30% from Tier 2 cities, and 23% from Tier 3, Tier 4, and rural districts
This extensive data collection provides a robust snapshot of traveler experiences and opinions across the country.
Exorbitant Pricing Experiences Reported by Majority of Travelers
When asked about their personal experiences with hotel pricing, a significant 57% of the 11,628 respondents to this specific query reported facing at least one instance where they were charged what they considered an exorbitant price for a hotel room. The breakdown of these experiences reveals a concerning pattern:
- 7% of respondents paid steep rates 75-100% of the times they booked hotels
- 19% paid above-normal rates 50-75% of their booking experiences
- 12% encountered high prices 25-50% of the times they booked accommodation
- 19% had such experiences less than 25% of the time
Overwhelming Support for Government Regulation of Hotel Prices
The survey presented respondents with questions about how India should approach hotel price regulation, revealing a clear majority opinion. When asked specifically about potential government intervention, the responses were telling:
- 74% of consumers surveyed indicated they favor the appointment of a government body to resolve complaints related to profiteering by hotels
- 22% of the 11,324 respondents to this question suggested the government should establish a ceiling structure and have the Competition Commission of India (CCI) investigate pricing complaints
- 26% expressed opposition to any government or regulatory intervention in hotel room pricing
"To sum up, 74% of consumers surveyed indicated that they are in favor of a government body being appointed to resolve complaints related to profiteering by hotels," the survey report concluded.
India AI Impact Summit 2026 Drives Unprecedented Demand
The primary catalyst for the current price surge is the upcoming India AI Impact Summit 2026, scheduled to take place at Bharat Mandapam in New Delhi from February 16 to February 20, 2026. This major international event is expected to draw thousands of delegates from around the world, creating extraordinary demand for accommodation in the national capital.
According to recent PTI reports, the summit has already attracted more than 35,000 registrations, with attendees expected from over 100 countries. This influx has resulted in higher-than-usual occupancy rates at Delhi hotels, allowing properties to command premium prices during the summit period.
The combination of limited hotel capacity and extraordinary demand has created what many travelers perceive as an unfair pricing environment, prompting calls for regulatory measures to ensure reasonable access to accommodation during major events.
