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Affordable European destinations are increasingly sought after as travel costs rise. Economic factors, including potential tariffs, are impacting holiday prices, particularly for popular tourist hotspots in the Eurozone and the United States. However, budget-conscious travellers can still enjoy Europe by exploring less conventional locales. Travel expert Sean Kelly from BookRetreats.com suggests focusing on budget-friendly alternatives to avoid inflated prices and crowded destinations, offering insight into surprisingly affordable European cities that remain unaffected by these economic pressures.
Discover Budget-Friendly European Getaways
Seeking a cost-effective European escape? Popular tourist destinations often come with premium price tags, but alternatives exist. Expert Sean Kelly highlights several surprisingly affordable European destinations, providing options for travellers looking to maximise their budget while experiencing the continent’s charm.
Swap Santorini for Nafplio, Greece
Nafplio, once the capital of modern Greece, presents a relatively undiscovered gem for travellers. Kelly recommends this destination as an alternative to crowded and costly hotspots.
“Visitors can experience the Mediterranean atmosphere in Nafplio without the expensive price tags and throngs of tourists found in Santorini or Athens,” Kelly states.
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BookRetreats.com co-founder Sean Kelly suggests swapping Santorini for Nafplio (pictured) in Greece for a more affordable travel experience in Europe.
Dining costs are significantly lower in Nafplio, with a three-course meal for two averaging around £32. Santorini, in contrast, can cost more than double for a similar meal. Furthermore, budget airlines frequently serve Nafplio, with one-way flights from London sometimes as low as £22.
Opt for Bosnia and Herzegovina over Croatia
Croatia has become a highly sought-after tourist destination, with popular spots like Dubrovnik, Split, and Hvar attracting large crowds.
Kelly suggests that “travellers willing to venture just two hours inland from Split to Mostar will find their travel funds go twice as far.”
In Mostar, southern Bosnia and Herzegovina, dining is considerably more affordable. A three-course meal for two averages approximately £26, compared to £60 in Split.
Kelly adds, “Beyond the financial advantages, visitors can immerse themselves in a city rich in history and boasting unique landscapes, including the iconic Stari Most bridge, set to host the 2025 Red Bull Cliff Diving World Series this September.”
Granada, Spain: An Alternative to Madrid
Granada (pictured) offers significant savings on dining compared to other Spanish cities like Madrid or Barcelona, according to Sean Kelly.
Granada was recognized as Europe’s best value destination for wellness in Book Retreats’ 2025 Wellness Cost Index.
The report indicated that a comprehensive wellness retreat, including multi-day programs, in Granada is £180 less expensive than in the Canary Islands.
Dining in Granada is also remarkably affordable.
Kelly notes, “A three-course meal for two is priced at just £32.57 in Granada – nearly 37% less than comparable meals in Barcelona or Madrid, where the cost averages around £51.43.”
“Moreover, Granada remains one of the few Spanish cities upholding the tradition of complimentary tapas with each drink order, essentially providing a meal with your beverages.”
“These practical savings can significantly impact your total holiday expenses.”
Albania: A Budget-Friendly Alternative to Turkey
Gjirokastër in Albania is a hidden gem offering exceptional value throughout the year, according to Kelly.
Gjirokastër in Albania (pictured) presents excellent value for travellers seeking affordable European destinations throughout the year.
He explains, “With the strong exchange rate of the British pound against the Albanian LEK, travellers can secure accommodation, enjoy meals and drinks for two, and still spend less than the cost of a single room in most European capital cities.”
Similar to Turkey, Albania boasts beautiful beaches and a history influenced by the Ottoman Empire.
Kelly adds, “Albania’s distinctive Ottoman architecture and UNESCO World Heritage designation ensure a culturally enriching experience that provides excellent value for money.”
Choose Porto over Lisbon, Portugal
“While not entirely undiscovered, Porto provides the quintessential Portuguese experience at more accessible prices compared to the country’s popular capital,” Kelly states.
“Your morning coffee will cost under £2 here, and you’ll find comparable savings on everything from dining to tourist attractions.”
Kelly advises booking Porto sooner rather than later to capitalize on its affordable prices.
“This second city is gaining traction,” he adds. “Thus, visiting now is ideal for a more authentic Portuguese experience without the extensive crowds.”
Porto (pictured) offers a quintessential Portuguese experience at more reasonable prices than Lisbon, according to Sean Kelly.
This advice comes as Ryanair’s CEO recently cautioned about the potential impact of tariffs on the aviation industry.
Michael O’Leary, CEO of Ryanair, indicated that the budget airline might postpone deliveries of Boeing aircraft if prices increase due to tariffs.
O’Leary mentioned to the Financial Times that while new planes are scheduled for delivery in August, Ryanair might delay them as the airline does not need the aircraft until March or April 2026.
He clarified, “If tariffs are imposed on these aircraft, we are very likely to delay delivery. We might delay them hoping for a return to common sense.”