There are a couple that will. However, they will still be expensive.
Look into a Bed and Breakfast place. They are plentiful in London and will be much cheaper. There are many on the West side of London in the Bayswater Road area in and around Notting Hill. Easy access to the tube and bus network.
There are several web sites that will provide you with the information.
Have fun, London is a great City but very expensive. I know, I grew up there. ;-)
I usually stay at the St. Giles hotel just off Tottenham Court road (1/2 block from the tube (Tottenham Court road -) prices range from ?89 to 129 depending on the time and size of room. You could try booking it here using Kayak or any other site. I usually take Paddington Express from Heathrow ( online fares ?20 single -?34 return) , to Paddington station, takes 15 minutes (the tube takes an hour from Heathrow) then take the tube or cab (?11 to St Giles) if you are staying for more than 3 days in London buy the 7 days tube/bus pass for ?30.40 (zone 1 and 2) or ?60 (zone 1 to 6 - Heathrow) it’s worth. You could try VRBO or Airbnb
St Giles Hotel, Central London, Bedford Avenue, London WC1B 3GH, UK, Tel.: +(44)0 20 7300 3000, Fax: +(44)0 20 7300 3001
If making advance reservations is not practical, just take the "tube" to Victoria Station and go to the information (i) booth. They can fix you up with a bed-n-breakfast place within walking distance.
Last month we stayed at the Park Plaza County Hall which is next to Waterloo station and just two blocks from the London Eye and Parliament. Got a great rate through Interliners Britian.
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