16 of the best affordable holiday destinations for 2026

With exchange rates wobbling and air fares yo-yoing, one of the questions our travel editors get asked the most is: where offers the best value for my holiday spend? We’ve pored over recent travel money surveys, long-term currency trends and on-the-ground costs to build a 2026 hotlist that surprises in all the right ways. If you’re looking for short-haul city breaks that won’t drain your bank account, consider Vilnius, Lithuania’s quirky, beautiful capital that’s packed with history, youthful optimism and affordable fine-dining restaurants. Or how about a weekend in Riga, Latvia? This Baltic beauty, which topped the Post Office’s most recent European affordability rankings, has a compact old town, art nouveau architecture, cheap pints and more to tempt you.

Further afield, bargain beach holidays beckon in the Gambia, where golden sands and wildlife-filled river cruises cost a fraction of Caribbean equivalents. Or you may want to consider the Vietnamese port city of Hoi An for its photogenic mustard yellow buildings and fascinating history. From short-haul steals to far-flung finds, these are the best affordable destinations for 2026.

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Flight time under six hours

1. Prague, Czech Republic

It’s always nice — for Brits, at least — when the pound soars in value against another currency, meaning lots more bang for the same buck. That’s the case with the Czech koruna, against which sterling still offers incredible value, despite declining slightly from its peak at the end of 2024. Prague is the obvious place to start if it’s your first time visiting the country. It’s worth noting that Prague came 12th on the Post Office Travel Money’s 2025 City Costs Barometer, with prices pushed up by the cost of activities. So make your budget stretch further with free attractions such as the gardens around Prague Castle and the Vysehrad Citadel. Also seek out sculpture by the artist David Cerny around the city.

Make it happen

Not only is the art deco-style Majestic Plaza Hotel Prague great value, but its two interconnecting buildings are just a few minutes’ walk away from focal Wenceslas Square. The on-site restaurant serves traditional Czech fare.

Discover our full guide to Prague
Best hotels in Prague

2. Riga, Latvia

Ratslaukums Square with the House of the Blackheads in Riga

Riga was named the best-value European city break destination in the Post Office Travel Money’s City Costs Barometer. The latest survey from 2025 compared 38 European cities, taking into account costs such as cups of coffee, local beers and three-course dinners for two. It’s a tight race but Riga, capital of Latvia, beat its Baltic neighbour Vilnius thanks to its lower accommodation costs — a two-night weekend stay for two in a three-star hotel came in at £123. Some activities, such as a sightseeing city bus tour, cost significantly more in Riga compared with other wallet-friendly cities in Europe. That’s easy to mitigate. Riga’s old town is compact and walkable, with attractions such as the Museum of the Occupation of Latvia and the Fashion Museum within a couple of minutes of each other on foot. If you want to go further out, the reliable bus network delivers savings.

Make it happen

One of the best hotels in Riga, family-run Neiburgs overlooks Dome Square in the heart of the old town and has a restaurant showcasing local ingredients.

3. Vilnius, Lithuania

Vilnius, Lithuania, one of the best affordable holiday destinations for 2026

Second on the Post Office’s list, Lithuania’s capital has a host of fun attractions that won’t break the bank. For example, a return trip on the funicular for a look around Gediminas Castle Tower with its sweeping city views will cost less than £10. Walking to the top is free, if you’re feeling energetic. It’s also free to wander around the old town and admire its impressive collection of baroque buildings, meaning later you can consider splashing out on some ambitious fine dining at Amandus — a restaurant that promises a deep dive into historical recipes and regional cuisine. Further helping Vilnius’s case for economy are direct Ryanair flights from Luton and Stansted; the airport bus costs less than £1.

Make it happen

Stay at the trendy Artagonist Art Hotel, which has elegant, pared-back rooms and a winning old town location.

Best European cities to visit in winter

4. Jerez, Spain

A tree-lined street in Jerez

Home of sherry wines, Jerez is a vibrant Andalusian city that’s managed to escape most of the tourist hordes of nearby Seville, which means prices here are comparatively modest too. At restaurants such as Tabanco Plateros, for example, you can get a flight of five sherries with matching cheese and charcuterie for about £9. And of course you can take advantage of the menu del dia, a set lunch menu that generally costs about £13 for two courses plus wine. Touring and tasting through the bodegas in the city is an essential part of any visit here, but otherwise this is a laid-back place where people-watching from a terrace café is greatly encouraged.

Make it happen

The surprisingly affordable Hotel Villa Jerez was built in the 1950s as a private property; these days, it’s a classy, 18-room retreat on Jerez’s leafy fringes that offers an infinity pool and lovely gardens.

Read our full guide to Spain
Best affordable villas in Spain

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5. Antalya, Turkey

The Duden waterfalls in Antalya

Despite sterling’s well-documented struggles, it has gained ground on some other faltering currencies. Easily the biggest leap concerns Turkish lira; in June 2025, for example, you could get almost five times as much for each pound as you could in 2021. Even allowing for soaring inflation, that means huge savings. The obvious places in Turkey to splash this bonus cash are along its gorgeous coastline and Antalya is a good bet. Airlines such as easyJet, Jet2 and Pegasus keep prices competitively low, while sprawling all-inclusive resorts on the seafront means you’re always going to be able to snap up a bargain package holiday. Many hotels are also geared towards families, which means big savings if you’re happy to book a family room with multiple beds.

Make it happen

Try Aska Lara Resort & Spa, a family favourite that includes unlimited entry to the Wet’n Wild waterpark as part of your stay.

Best affordable hotels in Antalya
Read our full guide to Turkey

6. Lisbon, Portugal

Rossio Square fountain in Lisbon, one of the best places for an affordable holiday

A great year-round option is Lisbon, which comes in at number five on the Post Office Travel Money’s 2025 City Costs Barometer. Helping to keep costs down is the wallet-friendly dining scene. Post Office Travel Money’s report puts the average three-course dinner for two, including house wine, at just £46.68, making it even cheaper than Riga. The cost of attractions is what’s kept Lisbon from moving up the ranks but there are ways to save here. The Money Museum, for example, is free for everyone and you get to handle a real gold bar as part of the exhibits. Or there’s the Centro de Arte Moderna Gulbenkian, which offers free entry on Saturday evenings for under-30s.

Make it happen

Airbnb can set frugal travellers up in chic Alfama properties such as this air-conditioned loft with River Tagus views, close to the twice-weekly Feira da Ladra flea market.

Read our full guide to Lisbon
More great Airbnbs in Lisbon

7. Cairo, Egypt

The minaret and ablution fountain of the Ibn Tulun mosque in Cairo

Avoid peak season (December to February) and holidays in Egypt can be extremely cost-effective, particularly if you book a package break. And you won’t have to spend much while you’re there either. From £2 shakshuka breakfasts to 50p fava bean falafel wraps, meals sell for a song thanks an exchange rate in the pound’s favour. If you’re after winter sun then the laid-back resorts along the Red Sea coast are the obvious choice. But for culture hunters, Cairo has become one of the hottest cities to visit after the much-delayed Grand Egyptian Museum finally opened in 2025. It’s also easily combined with a cruise down the Nile.

Make it happen

Combine Cairo, the Pyramids of Giza, temples and an overnight felucca cruise down the Nile on this good-value Egypt Express group tour that departs year-round.

Best hotels in Cairo
Best all-inclusive hotels in Egypt

8. Bardonecchia, Italy

An aerial view of Bardonecchia in Italy

Home to 62 miles of forested pistes across three areas, this Italian resort was named the best value ski resort for adults in the latest Post Office Travel Money Ski Resort Report — the second time it’s bagged the top spot. The survey analyses the prices of 32 European resorts for adult skiers. One of six Italian resorts in the top ten, Bardonecchia is estimated to set visitors back just £601 for a week’s lift pass, equipment hire, skiing lessons, lunches and drinks — compared, for example, with £1,084 in Tignes or £1,265 in Saas-Fee. Close to the French border, Bardonecchia is a laid-back, traditional village with many self-catered homes and hotels that offer ski-in, ski-out convenience. There’s also a good record of snow, and options for all levels — including a black run used in the 2006 Winter Olympics.

Make it happen

Crystal Ski arranges packages to Bardonnechia, with a choice of comfy apartments and classic mountain hotels to choose from, such as Hotel Cà Fiore.

Best ski resorts in Italy
Read our full guide to Italy

Flight time over six hours

9. Luang Prabang, Laos

Kuang Si Falls in in Luang Prabang, Laos

The insurance comparison website HelloSafe has concluded that Laos is the cheapest country to visit. The average traveller only needs a budget of about £16 a day to cover accommodation, ground transport and food according to its latest data. Luang Prabang to the north of the country is a particularly good option. It’s known for its many temples — which cost as little as £1.50 to enter — and night markets, and you can take day trips to see the cascades of the Kuang Si Falls. It’s easy too, to subsist on bargain-priced street food, with larb, a minced meat salad, the staple snack.

Make it happen

A great-value stay in Luang Prabang’s Unesco-listed old quarter, the Belle Rive Boutique Hotel has spacious rooms and terraces overlooking the Mekong River.

Best backpacking routes in southeast Asia
Read our full guide to Asia

10. Penang, Malaysia

Kek Lok Si temple in George Town, Penang, Malaysia

A large island where pure shores and rainforests sit alongside Buddhist temples and hawker street food, Penang, off Malaysia’s northwestern coast, is considerably more affordable than the country’s capital, Kuala Lumpur. Things to do here include visits to the Unesco-listed George Town with its heritage buildings and colourful street art; to Kek Lok Si Temple, Malaysia’s largest Buddhist temple; and to Penang Hill for panoramic views of the city. Penang is one of the best value destinations named in Post Office Travel Money’s 2025 Long Haul Holiday Report, coming in at number seven.

Make it happen

Various cruises call at Penang, including the four-night Penang & Phuket cruise from Royal Caribbean, departing from Singapore.

Read our full guide to Malaysia
Best islands in Malaysia

11. Tokyo, Japan

Mount Fuji behind the skyline of Tokyo

Tokyo has a reputation for being expensive but the declining value of the Japanese yen in recent years has made everything considerably more affordable even though the city has always been great at catering to travellers of every budget. Its capsule hotels, for example, provide horizontal cubicles at prices comparable to a bed in a hostel dorm room but with considerably more privacy, while a piping hot bowl of ramen in a typical restaurant costs as little as £1.50. There’s also plenty to see without spending a penny, from the busy crossing at Shibuya to the Buddhist temple at Senso-ji. The cost of flights can be a sticking point, but it’s easy to halve what you pay by flying via China rather than direct.

Make it happen

Small-group tours are a great way to outsource planning. Arranging trips to the country since 2000, InsideJapan Tours is the market leader; available year-round, its Must-See Japan option starts in Tokyo.

insidejapantours.com

Discover our full guide to Tokyo
Best hotels in Tokyo

12. Kololi, the Gambia

Kololi, the Gambia, one of the best affordable holiday destinations for 2026

Mainland Africa’s smallest country packs plenty in. Spellbinding sandy beaches are the Gambia’s most famous attribute, with Cape Point the most Instagram-worthy, but there’s much more to relish: bird, hippo and chimp-watching cruises in River Gambia National Park, leopard-patrolled wetlands and mysterious stone circles. Nevertheless, and despite some excellent beachfront hotels, winter sun packages to this west African country are absurdly cheap, with seven nights costing about £600pp in Kololi, including flights. With the shared GMT time zone, you needn’t even worry about jet lag.

Make it happen

Tui’s package holidays to the Smiling Coast of Africa — so called for its friendly locals — include cheap Holiday Beach, a hotel that serves local cuisine beside the sand in lively Kololi.

Great places for affordable winter sun

13. Bali, Indonesia

Beach umbrellas and sand pillows by the sea in Bali

This volcanic, tropical Indonesian island can be startlingly affordable — it comes in at number three on the Post Office Travel Money’s 2025 Long Haul Holiday Report — and you can save further if you travel in its shoulder seasons of April to June or September to October, when the weather is usually getting gradually drier or wetter. High-quality budget hotels proliferate, most of Bali’s beaches are free and activities tend to be a bargain: less than £30 for cookery classes or guided sunrise treks up Mount Batur. Taxis are also cheap, as is zooming around on a rented scooter. Food-wise, stick to classic streetside snacks such as nasi jinggo (rice and side dishes such as sambal-fried peanuts, all wrapped in banana leaves) or dine in the affordable restaurants of Canggu and Ubud.

Make it happen

All-inclusive resorts are a great way to avoid hidden costs — and you can get a week for about £1,300pp in October at the sports-mad Grand Mirage Resort on picturesque Nusa Dua beach.

Best hotels in Bali
Best hostels in Bali

14. Hoi An, Vietnam

Hoi An, Vietnam, one of the best affordable holiday destinations for 2026

Frugal travellers are thrilled by large portions of southeast Asia, including Cambodia, Laos and the original backpacker destination, Thailand. But, according to 2025’s Post Office Long Haul Travel Report, Vietnam brought some of the best value of all. The city of Hoi An was named the year’s cheapest long-haul destination. Because everything else is so cheap, it’s possible to stay in top-notch hotels and still subsist on £100 a day, including sunscreen, cocktails, coffees and a three-course dinner for two. Local draught beers are especially cheap, while renting a moped will cut taxi costs and help you get to the nearby beaches. Cua Dai’s stretch of white sand is only a couple of miles to the east.

Make it happen

Spend a day in Hoi An with Wendy Wu Tours’ Vietnam at a Glance. A ten-night trip, especially worth it for first-timers and those seeking to really pack everything in, its price includes international flights, taxes, transport, entrance fees, all meals, and stays in four-star hotels.

Best places to visit in Vietnam
Best hotels in Vietnam

15. Mombasa, Kenya

Mombasa, Kenya, one of the best affordable holiday destinations for 2026

Rather overshadowed by the country’s safari offerings, Kenya’s spectacular coast ranked as the fourth cheapest in the Post Office’s 2025 Long Haul Travel Report. A string of gorgeous, pearl-white beaches await in and around the city of Mombasa, as do plenty of other cost-efficient options: an old town with elegantly carved wooden doors, diving in the Mombasa Marine National Park & Reserve, crocodile farms and giraffe-filled wildlife sanctuaries. Use Ubers to get around and visit in October, November, March or April for the best rates.

Make it happen

Beside the long, pale-sand Nyali beach just north of Mombasa stands the nautical-themed Voyager Beach Resort, with its three pools, three restaurants and thatched, three-storey blocks.

Best safaris in Kenya
Best safari and beach holidays

16. Cape Town, South Africa

Cape Town, South Africa, one of the best affordable holiday destinations for 2026

Ranked second for value in the Post Office’s Long Haul Travel Report for 2025, Cape Town is South Africa’s most popular city with good reason. There’s no charge to walk up Table Mountain (though cable car return tickets from £16.50 will tempt) and a staple “Gatsby” (a long sub with salad, fries and, often, masala steak) provides stodgy fuel for a song. In July and August, many Cape Town restaurants offer special deals, perhaps helping you afford a Winelands tour or trip to see the penguin colony at Boulders beach.

Make it happen

AmaWaterways offers a nine-night Discover Africa holiday that starts with a three-night stay in Cape Town before cruising along the Chobe River on the luxurious Zambezi Queen.

Best hotels in Cape Town

We regularly reassess and refresh this list, adding the latest advice and inspiration

Have we missed anywhere? Please share your recommendations in the comments

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