While many people dream of vacationing in Europe, not everyone has an endless budget. With its remarkable historic sites, delicious cuisine and a variety of different cultures and languages, Europe is one of the world’s top areas for travelers. The UK Post Office has released its “Holiday Money Report 2023,” and while they are targeting UK travelers, it definitely applies to US travelers too.

Europe on a budget – cheapest destinations

Admittedly, a vacation in Europe is not always within everyone’s reach. What with the airfare, accommodations and food, the prices tot up fast. However, the continent does have its more affordable side. Now the UK Post Office has released its list of the most affordable destinations, based on eight pricing indicators.

Admittedly, its report also covers elsewhere in the world, even placing Cape Town in South Africa as one of the cheapest locations. However, for our purposes, we take a look at the cheaper side of Europe for 2023.

1. Sunny Beach, Bulgaria – cheapest in Europe

Sunny Beach is one of the most popular seaside resort towns in Bulgaria, which nestles on the shores of the Black Sea. During the daytime, visitors can have fun or relaxation on the clean, sandy beach, or visit ancient ruins and other nearby cultural landmarks.

Later in the day, Sunny Beach turns into a true party destination, with excellent nightclubs and bars that stay open until the next morning. Meanwhile, beach parties are regularly held on the sand. To get an idea of prices, visitors can expect to pay $2.30 for a bottle of beer. When dining, two people can enjoy a three-course meal, with a bottle of wine included for just $44.

2. Algarve, Portugal

Located in the south of Portugal, the Algarve is a popular vacation paradise. The region is renowned for its incredible beaches, backed by dramatic golden cliffs, with a warm ocean to enjoy. Meanwhile, this region of Portugal attracts around 4 million tourists each year who stay in popular towns like Lagos and Faro.

Here, visitors can expect a cup of excellent coffee for just $1. Meanwhile, a three-course meal for two persons, including a bottle of wine costs less than $50.

3. Costa del Sol in Spain, Europe

As with the Algarve, the Costa del Sol is in the south and is a popular beach location with several charming towns to visit. While Marbella is likely to be more expensive, Malaga city and towns like Fuengirola. Estepona and Mijas are more affordable. The beaches are endless, running along the coastline and lapped by the warm Mediterranean Sea. Meanwhile, the picturesque villages are well worth exploring.

Here, visitors can enjoy the Spanish culture and delicious cuisine. Expect to pay less than $3 for a glass of wine and enjoy a three-course meal for two persons, including a bottle of wine, for around $60.

4. Paphos, Cyprus

Among the most popular places in Cyprus, Paphos stands out and is located on the southwest coast of the island. Here, a number of the most luxurious resorts are available and Paphos itself is a great base for exploring the island’s nearby historic sites, idyllic beaches and mountain towns. Among the archaeological sites worth visiting is the Tombs of the Kings, a UNESCO-listed necropolis dating back to the 4th century BC.

Here, visitors can expect to pay slightly over $3 for a cup of coffee. Meanwhile, a three-course meal for two persons, including a bottle of wine, will knock you back around $68.

5. Corfu in Greece

You might believe the Greek islands are expensive. and yes, some are. However, that isn’t always the case. Corfu, which lies just off the coast of the Greece/Albania border, offers exceptional beaches, great hotels and beautiful historic palaces. Meanwhile, Corfu has been influenced by many different cultures, including Venetian, French, and English, giving it a unique cultural vibe for visitors.

Here, American travelers can expect to pay around $0.55 for a bottle of water. Meanwhile, a delicious, three-course meal for two, including a bottle of wine costs around $60.

Find more affordable destinations on the UK Post Office’s “Holiday Money Report 2023” here.