booking.com hotel where do we stand?

Six months ago we booked a hotel in London for this weekend, through booking.com fairly cheap as paid in advance.
Today, 2 days before we travel, we got a message saying the booking had been cancelled.
We have planned the weekend meticulously, planning in advance to see Billy Joel and couldn't afford to do it any other way. With a small child too, a lot of work went in to this.

Can they just do this?
This is the second time this has happened (last time was one day notice) and both times they have used the same excuse, that it is hotel renovation, with a different hotel.

A LOT of upset has been caused and now we are struggling to find somewhere and nowhere near the price. We will spend the night phoning round but not even sure we will find anything.

Thanks in advance for your help

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