The University of Chester is advertising rooms to the public from as little as £25 per night in the former Travelodge building.

Last year the university took over the former 160-bed hotel in Delamere Street which is occupied by students and known as Sumner House.

Now posters have appeared on Sumner House with the promotional slogan ‘Fancy a city break? – from just £25 per night’ but only during the Easter and summer holidays.

But not everyone in the hotel trade is happy the university could potentially undermine existing operators with such low prices.

A university spokesman said: “During summer and Easter holiday period, the majority of the University of Chester-owned student bedrooms become available for conference delegates.

“As has been standard practice for many years with many other higher education institutions across the world, the university also actively markets certain student accommodation for bed only, and bed and breakfast bookings during these holiday periods.”

A range of offers is available, including single and double rooms as well as family rooms.

The spokesman added: “Rates are variable, but the cheapest option advertised at the moment is at £25. This is for single occupancy, room only, at Sumner House and includes VAT.”

Gordon Vickers, owner of Chester’s Mill Hotel, is against the promotion and wonders whether the university is allowed to operate as a hotel given change-of-use planning consent was granted to convert the hotel into student housing.

He asked: “Are the premises rated as student accommodation or a hotel? It will hit very hard and destroy the guest house market.

“Secondly, generally, the hotels in Chester are having a tough time in competing in the market place – trying to compete with the likes of York and Stratford-on-Avon. It is a hard market to be in.”

Cheshire West and Chester Council spokesman Laura Johnson said there was no breach of planning conditions as the predominant use of the building was consistent with the consent granted to the university.