City break costs soar, but there are still deals to be had

HOTEL prices for UK holidaymakers in three-quarters of popular European cities have soared since last summer, according to research.

Madrid was found to have the largest percentage rise out of 35 destinations analysed by Post Office Travel Money, which attributed the overall increase to high demand.

A two-night hotel stay in the Spanish capital will cost an average of £385 this summer, up from £161 last year, the study shows.

Visitors to Berlin face the second highest increase, from £168 to £372.

The highest prices were found to be in Amsterdam (£525), followed by Venice (£480), Dublin (£448) and Florence (£402).

The analysis only considered hotels in the centre of cities.

High prices in Madrid, Amsterdam and Venice are driven by a lack of mid-grade places to stay, the researchers said, with many hotels in their central areas in the expensive five-star category.

For those searching for a value break, Lisbon was found to have the lowest average prices for tourist staples.

Examples include £1.35 for a cup of coffee, £4.52 for entry to a popular art gallery, and £39.01 for a three-course evening meal for two with house wine.

Lisbon’s overall prices are less than a third of those in Venice and Amsterdam, which are Europe’s most expensive cities.

Vilnius, in Lithuania, was the second cheapest city analysed, followed by Krakow, in Poland.

Laura Plunkett, head of travel money at Post Office, 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.

“We also advise checking costs for meals, drinks and sightseeing before booking. There are wide variations in costs between cities.

“People who are prepared to swap destination can make their pounds stretch much further by choosing a cheaper capital such as Lisbon or Vilnius.”