European hotspot with cheapest beer for just £2.26 & flights for just £28

WE will all be counting the pennies to some extent this year, but low cost does not always mean low quality, especially when it comes to holidays.

It’s all about being shopping smart when you book your 2023 summer getaway, as we could face paying up to 76 per cent more than last year, experts have warned.

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But with the Post Office’s annual City Cost Barometer published yesterday, we’re here to help stretch your pounds.

When it comes to the ultimate budget holiday, one of my favourite destinations, Lisbon in Portugal, has come out on top for the first time this year, and named as the cheapest city break in Europe.

According to the Post Office Travel Money data, accommodation here will set you back a mere £121 per couple over a weekend — and booze is cheap too, with a glass of wine costing an average of £3.07 and a 330ml bottle of beer setting you back just £2.26.

The survey also analysed the cost of 11 popular holiday items and activities, including soft drinks and a three-course dinner, plus travel cards and sightseeing tours.

All items came to £224.76 in Lisbon, just two per cent higher than last summer, meaning a getaway here is a no-brainer and will cost you on average a third less than other popular cities like Amsterdam and Venice.

With a vibrant culinary scene, unique architecture and lively music spots, Lisbon was also named one of the most in-demand city breaks in another Post Office survey.

But if you’re looking for somewhere more off the radar, then Vilnius, the capital of Lithuania, closely followed Lisbon in the budget rankings.

It beats Lisbon on cost for travel, too, with return airport transfers to the city costing just £1.17 on average and a 48-hour travel card just £7.22.

Other destination to consider for a low-cost city break are Krakow in Poland, where entry to museums and art galleries costs just over a fiver, and Athens in Greece where the average three-course evening meal for two and a bottle of wine will cost you just £40.64.

Riga in Latvia, Porto in Portugal and Zagreb in Croatia came fifth, sixth and seventh respectively in the budget table, all of which cost less than £330 for a weekend getaway — significantly cheaper than Paris, Dublin and Amsterdam.

Bang for your buck

Unsurprisingly, prices have increased across the board in all of the 35 cities surveyed this year with accommodation being the key factor.

Two-night hotel stays have increased by more than 50 per cent in 27 of the 35 cities.

It’s not all doom and gloom, though, as beer still costs under £3 for a bottle in nine of the cities surveyed, including in Barcelona, at just £2.48.

Laura Plunkett, head of Travel Money at the Post Office recommends swapping your usual city break getaway for somewhere like Vilnius or Lisbon to get more bang for your buck in 2023.

She said: “This year’s rise in prices makes it even more important for holidaymakers to do their homework before booking a city break.

“The increased price of accommodation could add hundreds of pounds to the overall cost of a holiday so travellers need to budget carefully for this.”