The region stood out among 22 of the most popular European beach destinations, ranking first by offering the best balance between the cost of expenses incurred during the stay and the quality of the experience provided to families.

Rising to first place marks an improvement over the third-place finish in the 2025 edition. This performance reflects a 2.7% reduction in the cost of the basket of goods and services analysed, with the total cost in the Algarve coming in at £139.65.

The region thus surpassed long-established competitors such as Sunny Beach, Bulgaria (£142.16), and Lanzarote, Canary Islands (£147.42).

Now in its 18th edition, the report focuses on the spending habits of British families while on holiday. To determine the results, the methodology compares prices for ten everyday expenses at the destination, excluding accommodation and transport costs.

The basket of goods includes essentials such as water, sunscreen, insect repellent, and drinks, as well as full meals, specifically, lunch for two adults and a three-course dinner with drinks for a family of four.

André Gomes, President of the Algarve Tourism Board, hailed the top ranking as clear confirmation of the region’s competitiveness on the international stage.

He emphasised that the distinction validates the destination’s ability to offer a strong value proposition to visitors and reinforces a regional strategy focused on quality, a distinctive product offering, and the ability to generate added value year-round for the territory, businesses, and local communities.