The nicest cheapest places to go on holiday

Check out these destinations that are perfect for budget travelers. Experience the nightlife in the most affordable capital in Europe or indulge in culture and cuisine in the Caucasus region. Discover 10 cheapest places where you can save money without missing out on a great vacation.

What are the most cheapest places globally?

In , the Post Office announced that Hội An in Vietnam is the choice for budget travelers in their annual Holiday Money Report. The report uses the Worldwide Holiday Costs Barometer, which calculates the cost of eight popular tourist items. These items include a three-course meal for two with wine, a cup of coffee, a bottle of local beer, a can of cola, a of wine, a bottle of still , suncream, and insect repellent. For instance, in Hội An, a bottle of beer costs approximately £1.16, and the total cost of these items is only £51.18.

Cape Town, located in South Africa, secures the second spot with a total cost of £54.35 for the eight items analyzed. Mosamba in Kenya takes the third position, where a cup of coffee is priced at only £1.34. However, this report reveals some unexpected budget-friendly destinations, such as Tokyo in Japan, which ranks fourth.

The Algarve in Portugal has been named the most budget-friendly destination in Europe, as per the Post Office Holiday Money Report. Known for its stunning beaches, untamed landscapes, and delicious seafood, this sunny region of Portugal is ranked fifth among affordable destinations.

Here's the full of the cheapest places:

  1. Hội An, Vietnam
  2. Cape Town, South Africa
  3. Mombasa, Kenya
  4. Tokyo, Japan
  5. Algarve, Portugal
  6. Sharm-el-Sheikh, Egypt
  7. Sunny Beach, Bulgaria
  8. Kuta, Bali
  9. Marmaris, Turkey
  10. Paphos, Cyprus
cheapest places

Alentejo, Portugal

Best for: frugal foodies

Portugal has consistently ranked high in the Post Office's Holiday Money Report, which assesses the best-value destinations for British holidaymakers. In 2020, it secured the fourth position. While Lisbon has been widely recognized as the culinary hub of the country, the Alentejo region in the south of the city is often overlooked. Coastal towns like Vila Nova de Milfontes, Comporta, and Porto Covo offer picturesque beaches, nature reserves, and enticing restaurants that attract even the most devoted Lisbon residents. Unlike other touristy areas, the cliffside views remain unspoiled by large hotel complexes, and the local population fills the tables, resulting in reasonable prices. Monica Ali, the author of Alentejo Blue, recommends Tasca do Celso in Milfontes and A Ilha near Ilha do Pessegueiro beach as must-visit destination restaurants, known for their exceptional garlic prawns and incredible cataplana dishes. In Alentejo, it is not uncommon to enjoy two courses and wine for around £13. Even when buying an espresso, you'll receive change for a euro. Many campsites offer free access to swimming pools, such as Camping Beirã-Marvão Alentejo, and comfortable yet affordable accommodations like O Lugar, which cost no more than a hostel (starting from approximately £55 per night).

cheapest places

Cape Town, South Africa

Best for: a grape escape

In South Africa, the US dollar has consistently gained strength against the rand for the past two years. This means that your money can go further when visiting the country. If you're a wine lover, you'll find great value in the wine country near Cape Town. Tastings start at around £3 and you can even visit vineyards like Seven Sisters and M'hudi instead of going to a pub. Sea Point, one of the city's trendy neighborhoods, is now open to savvy travelers. You can stay at Pineapple House, a creative crash pad near the beach, with bedrooms starting at about £80. For a quick coffee stop, check out Bootlegger where you can grab a cup for around 60p before 8.30am. If you want to experience the Silo Hotel without the high price, try The Potluck Club on the sixth floor. They offer dishes starting from about £3. And if you're up for some exercise, take a free hike to Lion's Head or Table Mountain, both just 20 minutes away from the city centre.

cheapest places

Vilnius, Lithuania

Best for: a cost-efficient city break

In 2019, Vilnius, the capital of Lithuania, was named the cheapest city break in Europe by Travel Supermarket's Best Value Index. With pints priced at around £2, it's a popular destination for weekend getaways. The city boasts a vibrant pub culture that contributes to a lively party scene, with entry fees starting at about 90p and the gay bar Soho Club staying open until 7am on select days. There are numerous B&Bs in the UNESCO-protected Old Town, like Vilnius Home B&B (starting from about £32 per night) and Mai Ram Yoga House (starting from about £45). The Baltic states of Estonia, Latvia, and Lithuania, located south of Scandinavia, offer a cooler summer alternative to Europe's more popular destinations, which can get uncomfortably during peak season.

cheapest places

Buenos Aires, Argentina

Best for: a low-cost capital

Over the past two years, the value of the Argentine peso has dropped significantly. Due to various factors like political instability, a thriving black market, and the impact of Covid-19, Argentina's economy is facing challenges. However, for travelers, this means they can get more value for their money. Unlike other places where leaving the capital city can save you money, in Argentina, cities like Ushuaia and Mendoza can be expensive, especially when factoring in travel costs. On the other , Buenos Aires, where most travelers arrive, is more budget-friendly. To save money, opt for local neighborhood restaurants instead of expensive steakhouses, and explore street food markets for delicious treats like empanadas and choripánes. Enjoy live music at the Konex center for a low price and experience free tango performances in San Telmo. Discover the growing creative scene in Barracas and find boutique accommodations in Palermo, such as CasaSur, L'Hôtel Palermo, and Miravida Soho Hotel.

cheapest places

Yucatan Peninsula, Mexico

Best for: inexpensive island-hopping

Isla Holbox is not just for the wealthy. The ferry from Chiquilá is affordable at £7.50. María Carlota hotel is a peaceful escape from the heat. Big Fish serves delicious ceviche at a reasonable price. Locals gather at Taco Queto for nachos and beer. Isla Mujeres offers diving for £40 and tasty tacos at El Torito. Renting a golf buggy is a fun way to explore the island.

cheapest places

Dahab, Egypt

Best for: sub-aquatic adventure

With budget airlines Tui and EasyJet running direct flights to Sharm El Sheikh, beach town Dahab, an hour's drive from the airport, is more accessible than ever. Bedouin hospitality meets BYOB at the colourful, low-key daybeds-come-restaurant-tables built into the boardwalk, where marine biologists, backpackers and beach bums congregate. Home to several dive sites such as the Blue Hole, which has a shipwreck and a canyon, it's a popular and affordable place for seasoned scuba enthusiasts to add the Red Sea to their logbook – some tanks cost as little as about £20, and there's plenty to see by snorkelling, too. Due to the climate, the reef here is more resistant to coral bleaching than others, which means it has maintained impressive biodiversity even in the face of the climate crisis. Wake to the sound of waves at sea-view Airbnb Sea Stars or a beachfront apartment – with prices starting from about £34, we'd book the whole place just for ourselves.

cheapest places

Hanoi, Vietnam

Best for: small pockets, big appetite

Vietnam is not only cheaper than Thailand but also less crowded, especially if you avoid the busy capital of Hanoi. Living in Hanoi is 55% cheaper than in London, with delicious street food like phở and bánh mì costing very little. Instead of expensive food tours, travelers can explore the city on their own for almost nothing. Grab is recommended for getting around easily, similar to Uber in South-east Asia, to save and avoid language barriers or scams.

cheapest places

Tbilisi, Georgia

Best for: culture in the Caucasus

Alcohol, Airbnbs, and public transport are affordable in Georgia. British nationals can stay for up to a year without a visa, making it a unique destination for backpackers seeking spontaneity. The country's European-leaning culture is evident in its Vienna-style squares and Parisian-esque boulevards, despite its location on the border of Asia. Prices in Tbilisi are significantly lower than in London, with restaurant prices about 238% lower and hotel rooms costing around £35 compared to £173 in London. Rooms Hotel offers beautifully designed rooms with breakfast included for about £80, while guesthouses and Airbnbs across the country are even more budget-friendly.

cheapest places

Goa, India (one of the best cheapest places)

Best for: heritage homestays

Even with a limited budget, it's possible to thrive on a small amount of money in India. You can enjoy a high quality of without spending much. This is not just for backpackers, but also for those who want to experience excellent service at affordable prices. During her four-month journey across the country while writing her book “Around India in 80 Trains,” author Monisha Rajesh struggled to spend more than £1,400. She suggests looking for heritage boutique hotels or small, Indian-owned accommodations instead of chain hotels. These places often offer home-cooked meals and personalized service from the owners, along with the added bonus of having your own swimming pool. One example she recommends is the 350-year-old Indo-Portuguese manor Siolim House in Goa, where room rates start at around £45. However, there are also boho beach huts and guesthouses available at even lower prices, which can be negotiated down to a third of the original price.

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