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Looking for good neighborhood to stay in London

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Traveling to London next August - yes, during the Olympics - trying to find a moderately priced hotel or B&B for me and my daughter that will be in a safe neighborhood with easy access to the tube. Thinking about Bloomsbury and the Morgan Hotel, but someone said it might be out of the way a bit. Kensington seems very expensive from what I've seen online. Any thoughts/recommendations are appreciated!

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