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How much money should I take on holiday to the Algarve?

How much money should I take on holiday to the Algarve?

If you’d love to tick visiting Portugal off your bucket list and plan to visit the picturesque Portuguese coastal region of Algarve in the near future, continue reading to discover how much money you should put aside for a fun-filled holiday to the Algarve.

Compared to many coastal regions in Europe, the Algarve is relatively inexpensive to visit.

Visitors to Algarve should budget around £200 pounds for a night of accommodation plus £100 per day for food, activities, souvenir shopping and rental car hire.

In total it’s well worth budgeting to spend around £300 per day for all of your travel-related expenses.

Although if you’re not keen on shopping during your trip and are happy staying at a hotel which costs £100 per night, you can choose to budget £190 for your daily expenses.

Holiday ClassEstimated Amount Needed Per Day (Per Person)
Budget£100 Per Day
Mid-range£200 Per Day
High-end£400 Per Day
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Estimated costs associated with planning a trip to Algarve:

1. Accommodation costs

Standard three-star hotels are priced between £91 per night and £149, while more luxurious four and five-star hotels are priced between £150 and £380 per night.

Better yet, no matter whether your budget allows you to stay at a comfortable three-star hotel or an opulently decorated five-star resort, you’ll be able to book accommodation at an oceanfront hotel or resort, which offers incredible sea views.

2. Rental car-related costs

If you plan on exploring Algarve’s stunning coastline on your own terms and don’t want to be stuck using public transportation to get around, it’s well worth considering hiring a rental car for the duration of your stay.

Especially if you plan on exploring some of Algarve’s remote beaches. Examples of which include Praia da Marinha, Praia da Rocha and Cape St Vincent.

If you’re interested in hiring a mid-sized rental car such for around £45 per day. However, if you require extra space you may be better off opting to hire an SUV for around £80 per day.

How much does it cost to fuel up a rental car in Algarve? While fuel prices vary slightly over time, you should expect to spend around £1.28 per gallon. So if you choose to hire a small to medium sized car you’ll be charged around £20 each time you fill up your rental car.

If you fill your rental car up twice in a week. The price which you’ll pay to fuel your car per day will be around £5 per day.

So to hire and run a small to medium sized car per day, you’ll effectively be paying £50 per day.

However, if you plan on travelling with a partner, friends or family members you’ll be able to divide the cost which you pay by the number of people who you explore Algarve with.

3. Sightseeing

Algarve is a relatively inexpensive region to explore. As most tourists spend the majority of their days basking in the sun at one of the city’s charming world class beaches. However, whilst spending time in Algarve it’s also well worth touring some of the region’s historical sites, such as its awe-inspiring castles.

One castle which you may be interested in touring is the Castle of Castro Maim which was built in the 13th century, during the Middle Ages.

Tickets to tour the Castle of Castro Maim are priced at £1, which makes exploring the Castle of Castro Maim cheaper than purchasing a beer. It’s also worth planning your trip to coincide with the annual festival which takes place outside the Castle of Castro Maim’s fortified walls.

Another castle, which you may be keen to visit is the Castle of Silves which has been given the honour of being listed as an official national monument.

The Castle of Silves, which overlooks the town of Silves as well as the beautiful Arade Valley and was built by Arab immigrants in the 11 century.

Entrance to the Castle of Silves will cost you around £1.25, which is extremely reasonable. Especially compared to the prices which you’d be asked to pay to tour castles i the UK.

As most of the historical attractions which are located in Algarve such as Algarve’s castles cost a few pounds to visit and you’re likely to spend the bulk of your trip at your resort’s pool or sunbathing on a beautiful public beach, you can get away with budgeting £10 per day to spend on visiting local sights and attractions.

4. Dining out

Lunch at an inexpensive restaurant in Algarve will set you back around £8.50, while a hearty dinner at one Algarve’s highly rated restaurants will cost you around £22.

If you plan on enjoying a cold glass of beer on your vacation, most beers are priced at £1.80.

Thankfully most hotels and resorts in Algarve offer complimentary hot breakfasts, so if you plan on eating out for lunch and dinner each day, it’s well worth budgeting around £35 per day. Which includes 1-2 alcoholic drinks or sodas per day.

However, if the hotel or resort which you choose to stay at doesn’t offer complimentary breakfast, make sure to add £5 per day to your food budget.

If you’re looking to visit a picturesque area which offers a plethora of popular restaurants, bars, and cafes, it’s well worth heading to Faro. Algarve’s capital city which boasts a picture-perfect marina, which is lined with a plethora of bustling cafes, bars, and restaurants.

5. Souvenir shopping

If you plan on picking up a few trinkets from one of the Algarve’s affordably priced markets, make sure to add £10 per day to your travel budget!

Thankfully as the Algarve, doesn’t attract the same volume of tourists as other coastal regions in Europe such as Italy’s Amalfi Coast and France’s southern coast, you should find that it’s far cheaper to shop for souvenirs in the Algarve region than other parts of Europe.

So if you have an adventurous spirit and already have your heart set on visit the stunning coastal region of Algarve, it’s well worth budgeting to spend around £300 per day if you plan on staying at a hotel which is priced at around £200.

If you choose a hotel which is priced more affordable, simply reduce your daily budget accordingly.

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