Cheapest European Family Holidays: Beer for £2.60 and More

Top Affordable European Destinations for UK Families

For families looking to save money on their summer getaway, the 2026 Post Office Travel Money Family Holiday Report has identified the most affordable European destinations. This report compares the cost of everyday holiday essentials across 22 popular locations, providing valuable insights for budget-conscious travelers.

According to the study, the Algarve in Portugal is the most affordable resort for families, with a basket of ten key purchases costing £139.65. This includes lunch and evening meals for a family of four, drinks, sun cream, and insect repellent. Prices have decreased by 2.7% since last July, making it an attractive option for those seeking value.

Sunny Beach on Bulgaria’s Black Sea coast came in second place with a total cost of £142.16. Despite a 9.3% increase in prices, it remains a top choice for its reasonably priced family evening meal with drinks at £73.

Lanzarote, part of the Canary Islands, took third place with a total cost of £147. The island offers a combination of beach days, hiking, and exploring volcanic landscapes, making it ideal for a budget-friendly break.

Menorca, located in the Balearic Islands, secured the fourth position with a cost of £151 for ten tourist items including food and drinks. The average two-course lunch for two adults is £27.96, and other travel essentials are also reasonably priced.

The Costa Brava in Spain ranked fifth with a total cost of £155. Popular destinations include Lloret de Mar and Platja d'Aro, where families can enjoy affordable beer at £2.23 and a three-course family meal for £86.73.

Tenerife, another Canary Island, came in sixth place with a total cost of £158.31. The island offers a variety of beaches and volcanic terrain, with coffee priced at £1.75 and insect repellent at £5.24.

Marmaris in Turkey, despite a 23% increase in costs to £159, remains a good value destination. The town features family-friendly accommodation and a range of activities such as boat trips and water-based excursions.

The Costa del Sol in Spain placed eighth with a total cost of £163. Coffee is available for £1.75, beers for £2.97, and three-course meals for under £82.

The Costa Blanca in Spain had an overall cost of £173.41, with notable prices such as beer at £3.49 and two-course lunches at £31.45. It is home to some of Spain's cleanest beaches, with 151 Blue Flag awards in the region.

Paphos in Cyprus rounded out the top ten with a total cost of £177.18. The report highlights that 46% of UK families will be setting a higher budget due to increased prices this summer.

On the other end of the scale, Italy’s Sorrento was named the most expensive resort with an average cost of £268. A family evening meal for four can cost £150, which is almost a third higher than in another Italian destination and double the cost in the Algarve.

Laura Plunkett, head of Post Office Travel Money, emphasized the importance of researching holiday costs before booking. She noted that the low resort prices in Portugal and Spain make these countries great value for money, while Bulgaria’s Black Sea resorts are strong contenders as well.