My wife and I, and our friends from Louisville (another couple) stayed at the Morgan Hotel during the 2012 London Olympics for 9 nights. It is an excellent place to stay and I have nothing but praise for it.
It is located in Bloomsbury, around the corner from the British Museum, and just 3 blocks walk to Tottenham Court Road underground station on the Central (red) line. There is also a bus stop 50 feet from the hotel entrance.
Everything about the hotel is well kept. Our room (207, one stair flight up from the entrance level) was excellently and efficiently laid out, well furnished, very clean, and fresh looking. It had wall-hung nightstands (with lights) on both sides of the bed; an open closet with clothes rod, 4-5 shelves, 2 drawers, and a safe; 2 side chairs and an end table; a flat panel TV mounted in an upper corner of the room; a compact bathroom with sliding entry door, sink, toilet, and shower stall; plenty of hot water in the shower, provided by one of those instant hot water units; and an in-room air conditioner unit mounted high on a wall, with a remote control, that worked great. The bed was comfortable and we were able to store our suitcases underneath the bed. They even provide a washcloth in the bathroom, which we often found missing in our travels around England.
The room rate includes a full English breakfast served 7-9AM in a breakfast room one flight of stairs down from the entrance level (watch your head going down). Breakfast options include self-service corn flakes, orange juice, bananas, and milk; and table service of eggs cooked to order (with sides of tomato, sausage, and bacon), hot toast brought on a caddy, and your own little pot of coffee.
The owner, his sons, and staff were very friendly and helpful. They helped with our luggage, directed us to an attended launderette (laundromat) less than 10 minutes walk away, and booked a private car to Heathrow for us (50 pounds + tip).