I travel to London frequently and my favorite location is around Trafalgar Square.  We just stayed at the Strand Palace Hotel and it was convenient to so much of what we were doing.  I also quite like Westminster, I've stayed at the Marriott County Hall and the Park Plaza Westminster Bridge Hotel and both of them were quite convenient.  If your budget is tight, you might have a look at one of the HUB hotels, I stayed at the hub by Premier Inn London Westminster, St James's Park last December and there's another one with a better location, hub by Premier Inn London Covent Garden but it's more expensive.  I also stay in Earl's Court and near Gloucester Road, convenient for some of the museums

Thanks to London's excellent public transport system (the Tube, buses, etc.), it's an easy city to navigate.  When considering which area to stay in, your #1 concern should be proximity to a Tube station.

I wouldn't recommend staying in Piccadillyor Soho because accommodation there tends to be overpriced and poor value and because there is plenty of noise and traffic at all hours.  I would recommend Bayswater, Knightsbridge or Notting Hill as they are largely residential and relatively quiet, yet only a few Tube stops from most major tourist sites in the city.   

If you're flying into Heathrow then Bayswater is probably your best bet...if you take the Heathrow express train from the airport to Paddington Station you'll end up right in the middle of Bayswater and only blocks from your hotel.

London is a city with very good bus and tube connections. However for your purposes, I would suggest that you find a place with a postal code of W1 which is the area round Oxford Circus, WC1 & 2, near all the museum's, theatres etc, W2 Paddington just a hop to the centre. It really depends what your interests are and what budget you have. No matter where you pick make sure it's near a tube.

Have you ever considered booking thru Air Bnb or VRBO.. we stay in the Kensington, south Kensington area with great transport and neighborhoods with everything.. Hotel rooms are often very tiny.. and expensive.. just have a look on their websites

Having lived in Kensington Olympia for years, I admit my bias, however I do recommend Kensington, Kensington Olympia, and other areas in West London.

The next area westward, Hammersmith, has much more affordable accommodation as well as a tube stop on the Piccadilly Line, which is, I argue, the best Underground line for getting to all the best sites in London.

There is no one 'best' location as such. London sights and sites are quite spread out. f you don't want to travel in and out every day just find a hotel in central London itself, rather than the surrounding area. Neither London nor the UK has actively unsafe 'neighbourhoods'.

London is very walkable (and safe to walk) and also has a safe, extensive public transport network. Use the official Tube map:

https://tfl.gov.uk/maps/track/tube

and the official Transport for London journeyplanner:

 https://tfl.gov.uk/plan-a-journey/

The reliable and long-established www.booking.com has very extensive listings and excellent mapping. I suggest you use it to explore your options even if you don't use it for booking. 

Be aware that hotels in central London of course have the highest rates. As well as booking.com you might also look at chains such as Premier Inn:

http://www.premierinn.com/gb/en/hotels/england/greater-london.html

and Travelodge:

https://www.travelodge.co.uk/uk/london/hotels-in-london

both of which have plenty of hotels in central London.

I would say Marble Arch- central to everything

North of the river. I would reccommend staying around Holborn/Holborn / Russell Square area for a central place. The other option is to go for Paddington area and stay in one of the bed factories. If you have no budget, opt for a hotel around Manchester Street, close to Bond Street, Manchester Street, close to Bond Street, Green Park, New Oxford St, Marylebone

Hi Poonam,

I have stayed in the Docklands Trading Post, South Kensington, Russell Square, Pimlico, Strand and Belgravia areas. I like Strand because it is close to Trafalgar Square, Somerset House, Twinnings Museum and the famous Savoy Hotel. Kensington is walking distance to the Natural History Museum, Kensington Palace and Victoria and Albert Museum. Belgravia is close to Victoria Station (London central station), Buckingham Palace and Hyde Park.

If money were no object, I recommend staying at The Kensington Hotel and The Bentley Hotel.

The B+B Belgravia on Ebury St, Belgravia offers affordable rates. We stayed there twice (2006 and 2016) and it was interesting to discover the changes through the 10-year period. It was better in 2006. For the mid range hotel category, I prefer Georgian House in Pimlico.

It partly depends on your budget and what tourist attractions you'd like to see. If you're willing to splurge a little, the Stafford Hotel off Green Park is cozy and a 5 minute walk to Buckingham Palace. A 15 minute walk will take you past St James's, Churchill War RoomsSand another 5 from there will take you to Westminster Abbey or turning the other direction... Trafalgar Square in 5-7 minutes. It had an incredible location "in the middle of it all" but quiet and tucked away. Otherwise I'd go the Airbnb route. Great deals even in Mayfair! Enjoy!

Have always found Paddington Station handy-train to Heathrow Airport from Paddington station and there is Paddington tube as well. If you're a walker, it's easy to walk to places like Hyde Park, Marble Archand further afield from there. Just a couple of streets behind the station is a canal boat company where you can have a canal boat ride to Camden Lock Place. Lots of places to eat round there and lots of budget hotels as well if you're budgeting.

Hi Poonam 

If you're staying in Marylebone Road, Piccadilly Circus, Fitzrovia, Marble Arch, Soho or even Westminster then you're pretty close to all the major sites. As with all of with these things it depends on your budget. Cheaper but still central hotels tend to be nearer the railway stations (such as Kings Cross, Victoria Station, Paddington Station). If you don't mind spending a bit more then something in Piccadilly or Soho will see you right in the middle of London.  

London has a tremendous public transport system so even if you stayed a little further out in somewhere like the financial central of Canary Wharf, you would still be in the city within 20 minutes on the Jubilee Line.