The Holiday Inn owner gained 4.7% after it said it was seeing some "very early" signs of returning demand as coronavirus-related restrictions eased in major markets.
The mid-cap FTSE 250 rose for a third straight session, as Bank of England Deputy Governor Dave Ramsden said the central bank would step up quantitative easing if the economy slowed again. June gross domestic product figures are due on Wednesday.
The blue-chip FTSE 100 added 1.6%, tracking gains in Asia and on Wall Street on relief that a U.S.-China spat appeared not to have spilled over into trade.
"Hopes of bipartisan agreement on a U.S. fiscal stimulus package helped stoke the fires of a market rally on Tuesday with the FTSE 100 now up 4% since the start of August and back firmly above 6,100," said Russ Mould, investment director at AJ Bell.
Historic global stimulus and improving economic data have powered UK stock markets since a coronavirus-driven crash in March. Data on Tuesday showed British consumers spent the most in July since a coronavirus-led lockdown in March, as pubs, restaurants, barbers and beauty salons reopened.
Still, investors are cautious with unemployment remaining elevated and a resurgence in COVID-19 cases threatening another round of lockdowns, and the FTSE 100 has underperformed its European and U.S. peers.
Energy <.FTNMX0530>, life insurance <.FTNMX8570> and travel-related <.FTNMX5750> stocks were among the top gainers of the day, while homebuilders <.FTNMX3720>, utilities <.FTNMX7570> and real estate <.FTUB8600> firms lagged the wider market.
Housebuilder Bellway Plc fell 4.5% as it built fewer homes in the year due to the lockdown.
By Sagarika Jaisinghani and Shreyashi Sanyal
