Athens and Lisbon beat off challenge from Eastern Europe to rate as best value in annual City Costs Barometer

• City Costs Barometer compares prices in the 20 cities named as favourites by Britons planning city breaks, which remain the most popular type of overseas holiday
• Paris is top choice for Britons but twice the price of Athens and Lisbon, which beat Krakow, Riga and Budapest to rate as cheapest in the survey (www.postoffice.co.uk/citycosts)
• Higher cost of accommodation means barometer prices have risen in most cities

Athens and Lisbon have emerged as best value for an autumn break in Europe, according to the annual Post Office Travel Money City Costs Barometer, which compares tourist costs in the 20 European cities named as their top choices by Britons who are planning a city break this year¹. It marks the first time in 15 years of running the barometer that a city in western Europe has been found to be cheapest, with prices lower than those in Eastern Europe².

At £207 for 12 typical tourist costs – including an evening meal for two with wine, drinks, two nights’ three-star accommodation, sightseeing and city transport – Athens was easily cheapest in the Post Office price comparison. Its barometer total was under half the cost in Paris (£423, 16^th), which was named their preferred choice by 26 per cent of those planning a city break. Barometer research found that prices in the French capital were 25 per cent higher year-on-year, while they fell by 15 per cent in Athens.

Although a trio of eastern European cities – Krakow (£219, 3^rd), Riga (£220, 4^th) and Budapest (£221, 5^th) – will offer British visitors good value for money, another sunshine city in western Europe, Lisbon, edged ahead of them to take the runner-up position with a barometer total of £218. However, prices have risen by 21 per cent in the Portuguese capital since last year because the cost of two nights’ accommodation has spiralled from £73 in September 2021 to £115 now.

Nick Boden, Head of Post Office Travel Money, which accounts for one-in-four currency transactions, said: “According to our latest research, over two-in-five of those planning trips abroad will be taking a city break³, making this the most popular type of overseas holiday for the fifth consecutive year. However, Britons need to be aware that the rising prices in Lisbon are typical of what we found across Europe, fuelled by big increases in accommodation charges.

“Established favourites like Paris, Amsterdam and Venice may be top choices among the holidaymakers we surveyed but they are also expensive places to visit and people who are prepared to swap to a city with a lower cost of living can make their pounds stretch much further. Athens and Lisbon are half the price and offer a sunny autumn climate as well as low prices. Our advice to holidaymakers is to do their homework and check prices before booking.”

Among the other cities that rate as good value for money are Prague (£249, 6^th), Madrid (£299, 7^th), Berlin (£317, 8^th), Dubrovnik (£318, 9^th) and Rome (£347, 10^th). Madrid, Berlin and Rome are established city break destinations making their first appearance in the Post Office top 10.

This year’s most expensive cities are Amsterdam and Venice. Both have been impacted by a scarcity of hotel beds, which has caused steep rises in the price of accommodation. Although costs for meals, drinks, sightseeing and transport have risen just four per cent year-on-year in Amsterdam, the cost of two nights’ three-star accommodation has doubled to £403, making Amsterdam the highest-priced city by some distance at £593. Venice is the second most expensive at £457, with accommodation costs rising by a third this year, and an overall barometer increase of 20 per cent.

Post Office research found that accommodation prices have risen by over 20 per cent year-on-year in 15 of the 20 cities surveyed – with the biggest increases in Amsterdam (+104 per cent), Barcelona (+67 per cent) and Paris (+62 per cent)⁴. The soaring cost of accommodation is the main reason why city break prices overall are higher this year. Only Athens (down 15 per cent) and Krakow (down one per cent) have registered falls in the total cost of a city break.

The research also found big differences in meal costs⁵. A three-course evening meal for two with a bottle of house wine ranged from £38.96 in Athens and £41.04 in Lisbon to £139.53 in Stockholm. On a positive note, the cost of eating out has fallen in half of the cities surveyed. The biggest falls have been in Krakow (-20 per cent), Vienna (-13.9 per cent) and Berlin (-12.8 per cent).

Research by Post Office Travel Money in recent years has consistently found cultural attractions to be one of the main stimuli for city break trips. However, as with other barometer commodities, the cost of visits to heritage sites, museums and galleries varies dramatically. Dublin offers the best value at just £6.93 because visits to its leading museum and gallery are free. By contrast, culture is most costly in Dubrovnik where visits to a museum, gallery and heritage site cost £57.28.

Nick Boden said: “City breaks are generally DIY holidays so careful budgeting is all important because meals, drinks and sightseeing are costs that need to be factored in. Change enough cash before leaving home to cover likely costs – and remember there are better exchange rates for higher value Post Office branch or online transactions.”

The Post Office is the UK’s leading foreign currency provider, offering around 60 currencies for pre-order at around 7,000 Post Office branches or online at www.postoffice.co.uk/travel for next day branch or home delivery. 3,600 larger Post Office branches stock the leading currencies and around 7,000 offer euros over the counter without pre-order. These can also be ordered online for same day ‘click and collect’ at selected branches, next day collection at any branch or home delivery.

The full results of the 2022 Post Office Travel Money City Costs Barometer can be viewed online at: postoffice.co.uk/citycosts.

ENDS