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Current Recommendations:

bulletThe Metropolitan: cool hotel with very modern, sleek, yet functional rooms; get a room with a view of Hyde Park; also make sure to enjoy the Met Bar with the fashion set.
bulletFour Seasons Canary Wharf:  If you have business on the wharf, this is the place to stay
bulletThe Stafford: small, boutique luxury hotel right around the corner from the Ritz; amazing service, somewhat affordable room rates, and the best little hotel bar in the world!  The rooms are just soooo small though.

You may also want to try renting a flat if you are going to be there for at least a week.

 

Avoid:

bulletThe Sanderson:  Except for the Long Bar, the only reason to stay here is if you want to feel like a bull in a china shop in your fragile, minimalist room covered with curtains.