Holiday destinations in the UK

March 18, 2017
Barnham Broom golf club and

Aerial view of Table Mountain and city of Cape Town.Prices have fallen by up to 31% at major resorts and city break destinations worldwide, according to a new report on travel costs. As sterling continues to strengthen against other world currencies, thestudy, compiled by Post Office Travel Money, has found that costs fell at 23 of 44 destinations surveyed.

Related: Algarve travel guide: what to see plus the best bars, hotels and restaurants

The cost of tourist essentials, such as meals and drinks, were compared to rank the destinations in order of value for UK tourists. The Algarve, in Portugal, emerged as the cheapest for the first time in five years, following a year-on-year drop in prices of over 18%.

Visitors to the Algarve can expect to pay an average of £16.77 for a three-course evening meal for two, including wine; £134 less than the equivalent meal at the most expensive destination, Jumeirah, Dubai.

The second-cheapest destination is the Bulgarian resort of Sunny Beach, which has seen a similar 18% price drop. There you can enjoy a local beer for 60p. Cape Town is the third-cheapest destination in the report, which found that a cup of coffee or a beer in the South African city costs around 91p.

View of Table Mountain and Cape Town. Photograph: Alamy

Not every destination has seen prices plummet. Bali is placed eighth after costs increased by nearly 6% over the last year. However, a beer in a bar will still only set you back 83p and a 1.5-litre bottle of water costs just 29p. Last year Prague came out as the cheapest destination, but rising meal prices have pushed overall costs in the Czech capital up by almost 14%.

Prague skyline, Czech Republic Related: Top 10 hotels, B&Bs and hostels in Cape Town

The strong dollar also makes trips to the US and Caribbean more expensive, with prices jumping at resorts such as Orlando, where costs are up 9%.

According to Post Office Travel Money, if sterling continues to hold its value, UK holidaymakers will be able to get a lot more for their money at a wide choice of destinations. “In Europe, the best deals are likely to be in Portugal and Bulgaria, where increased competition to attract tourists has resulted in lower prices for tourist staples, ” said spokesperson Andrew Brown.

“Once the exchange rate is factored in, tourists should see their spending costs shrink. For those travelling further afield, Cape Town, Bali and Tokyo look good bets for the bargain-hunter.”

Ten cheapest destinations for UK tourists

Prague skyline. Photograph: Jeremy Woodhouse/Corbis

Algarve, Portugal

Related: 10 of the best ways to enjoy Prague … on a budget

Sunny Beach, Bulgaria

Cape Town, South Africa

Costa del Sol, Spain

Marmaris, Turkey

Budapest, Hungary

Prague, Czeach Republic

Bali, Indonesia

Paphos, Cyprus

Corfu, Greece

Ten most expensive destinations for UK tourists

Beach in Antigua. Photograph: Alamy

Jumeirah, Dubai

Related: Viv Richards: Antigua's beaches, rum and street food are its real treasures

English Harbour, Antigua

Coast presenters share their favourite UK holiday destinations
Coast presenters share their favourite UK holiday destinations
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