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The Algarve has been ranked as the third cheapest destination for British tourists in the annual Post Office Travel Money review.

According to the report, the Algarve remains one of the cheapest places to visit if you are travelling from the UK, only coming behind Sunny Beach in Bulgaria in first place and Tokyo in Japan.

The report looks at different everyday tourist items and their prices to come up with where is the cheapest place to travel including a bottle of water, a cup of coffee, a can of cola, a bottle of beer, a glass of wine and sun cream.

In the Algarve the total cost of all eight products came to £44.25, a price that is considerably less than fourth place Prague in the Czech Republic £53.40 and the £55.20 price tag for the products found in the Costa del Sol in Spain.

The report also found that UK travellers will be able to get a lot more for their money during 2018, with 40% of the popular destinations surveyed by the Post Office found to be cheaper than before.

The drop in the price of goods in foreign counties is being accounted for by sterling’s year on year gains against 70% of the top 40 holiday currencies.  This has led to not only the Algarve being a very reasonably priced destination for UK visitors but also many long haul destinations including Dubai, which is 36% cheaper and New Zealand which is down by 27%.

Andrew Brown, of Post Office Travel Money, said: "The squeeze on spending at home means holiday resorts and cities where the pound will stretch further or where local prices are cheap are likely to reap the benefit of increasing visitor numbers in 2018."

Last year saw record numbers of holiday makers choosing the Algarve for a break, with occupancy levels across the region reaching all time highs.  While the demand for the Algarve as a holiday destination continues to rise, prices continue to be very favourable leading experts to predict another very busy year for the region.

If you are considering a holiday in the Algarve in 2018, book your holiday as soon as possible for the best prices and the greatest choice.

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