Originally Posted by
Non-NonRev
My guess is that government rates are pegged to GSA and/or DoD per diem guidelines. Those rates probably bear little relation to how standard/commercial rates are determined.
This is actually only the case in the US- the govt rates in Europe are often significantly higher than the US per diem for those locations. I'd guess that maybe they get set based on the EU official travel per diem (if there is such a thing) or the US one, depending on which is higher. I've never actually seen a govt rate at a European property that is lower than the US per diem, just those set exactly at the per diem, and those that are higher.