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Algarve has lowest prices for family holidays – report

18 Jul 2026 2 minute read
Photo Owen Humphreys/PA Wire

Neil Lancefield, Press Association Transport Correspondent

Resorts in Portugal, Bulgaria and Spain offer the cheapest prices for families embarking on European foreign holidays, according to a new report.

Analysis of 22 popular destinations for Post Office Travel Money found Portugal’s Algarve has the lowest prices for goods commonly bought by tourists.

Sunny Beach on Bulgaria’s Black Sea coast was in second place, followed by the Spanish island of Lanzarote in third.

The Family Holiday Costs Barometer is based on prices for items such as an evening meal, drinks, snacks and sun cream.

It does not take into account the cost of travel or accommodation.

The most expensive resort analysed was Sorrento, Italy, where prices were nearly double those in the Algarve.

The typical cost of a three-course meal for a family of four, including wine and soft drinks, was found to be £150 in the former, and just £78 in the latter.

Laura Plunkett, head of Post Office Travel Money, said: “We found big variations in costs between the European resorts surveyed, which means it is more important than ever to do some research before heading off on your holiday to inform how much holiday cash you’ll need for meals, drinks and other tourist staples.

“For those families who haven’t already booked and are looking for a late deal, the low resort prices in Portugal and Spain make these countries great value for money, while Bulgaria’s Black Sea resorts are strong contenders too.”

Chris Logan, UK and Ireland commercial director of travel company Tui, which researched prices for the report, said: “We’ve seen particularly strong demand for popular western Mediterranean destinations, with holidaymakers continuing to choose trusted, well-established resorts that offer a familiar holiday experience.

“However, Cyprus and Turkey remain very popular, particularly with families, thanks to their strong mix of quality and value.”


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