Labor wants inquiry into Adelaide hotel

South Australia's Labor opposition wants a parliamentary committee to investigate the state government's financial support for a boutique hotel to be built alongside Adelaide Oval.

Labor's Treasury spokesman Stephen Mullighan says the government's decision to provide the Stadium Management Authority with a $42 million loan to help with the development raises many questions.

"A lot of hoteliers in Adelaide are currently scratching their heads about why this hotel development is receiving millions of dollars from the government while they have to do it alone," Mr Mullighan said on Tuesday.