When people ask me for the best value destination in Europe, Lisbon always tops my list. This incredible city offers world-class museums, stunning viewpoints, authentic Portuguese culture, and some of Europe's best food – all at prices that won't devastate your travel budget.
I recently spent a week in Lisbon deliberately traveling on a tight budget to prove that you don't need to sacrifice experience for affordability. Here's exactly how I did it, with real costs, insider tips, and proof that Portugal's capital is one of Europe's best budget destinations.
My 7-Day Lisbon Budget Breakdown
That's exactly £50 per day – and I didn't feel like I was "roughing it" at all!
Accommodation: Comfort Without the Cost
Where I Stayed: Hub New Lisbon Hostel
Cost: £20/night for a private room with shared bathroom
Located in Intendente (an up-and-coming area), this modern hostel offered everything I needed: a comfortable private room, excellent common areas, free WiFi, and a kitchen for self-catering. The neighborhood might not look like much, but it's a 15-minute metro ride to the city center and full of authentic local life.
Accommodation Money-Saving Tips
- Book hostels with private rooms – Often half the price of budget hotels with similar comfort
- Stay slightly outside the center – Areas like Intendente, Alvalade, or Campo de Ourique are cheaper and well-connected
- Look for places with kitchens – Self-catering can save £15-20 per day
- Consider apartment rentals for longer stays – Many locals rent rooms for €25-35/night
- Avoid tourist seasons – July-August rates can be 50% higher
Food & Drink: Portugal's Incredible Value
This is where Lisbon really shines for budget travelers. Portuguese food is delicious, generous, and incredibly affordable compared to other Western European capitals.
My Daily Food Budget: £15
Breakfast: £2-3 – Coffee and pastéis de nata at local pastelarias
Lunch: £5-7 – Prato do dia (daily specials) at local tascas
Dinner: £8-10 – Traditional Portuguese restaurants or self-cooked meals
Best Budget Finds:
- Tabacaria Real (Cais do Sodré): Incredible bifana (pork sandwich) for €1.50
- Tasca do Chico (Bairro Alto): Petiscos (Portuguese tapas) and wine from €2
- Any pastelaria: Fresh pastéis de nata for €1.20, coffee for €0.70
- Mercado da Ribeira: High-quality food court with options from €4-8
- Local tascas: Daily lunch specials including soup, main, dessert, and coffee for €7-9
Food Budget Hacks
- Eat where locals eat – If there's no English menu and it's full of Portuguese speakers, you've found gold
- Ask for "prato do dia" – Daily specials are always the best value
- Buy groceries at Pingo Doce or Continente – Major supermarket chains with reasonable prices
- Visit markets in the morning – Better prices and selection at Mercado do Bolhão or local markets
- Happy hour is a real thing – Many bars offer 2-for-1 drinks 5-7pm
- Street food is excellent – Bifanas, chocolate salami, and roasted chestnuts are cheap and delicious
Transport: Getting Around for Almost Nothing
7-Day Transport Pass: £35 total
I bought a weekly Navegante pass (€28.65) covering all metro, tram, bus, and train services within Lisbon. This included:
- Daily metro/tram/bus travel throughout the city
- Airport transfer on arrival
- Day trip to Sintra (normally €4 each way)
- Ferry across the Tagus River to Cacilhas
- All the iconic Tram 28 rides I wanted
For comparison, individual metro tickets cost €1.40 each – I easily saved €30-40 during the week.
Transport Money-Savers
- Walk whenever possible – Lisbon's hills are good exercise and offer incredible views
- Use the elevadores – The funiculars and Santa Justa Elevator are both transport and tourist attractions
- Avoid taxis/Ubers for short distances – Public transport is excellent and much cheaper
- Take advantage of free transfers – You can transfer between metro, tram, and bus with one ticket
Attractions: Culture on a Shoestring
My €45 Week of Culture
Paid attractions:
- Jerónimos Monastery: €10 (worth every penny)
- Pena Palace, Sintra: €14 (combined park and palace)
- National Museum of Ancient Art: €6
- Fado performance in Alfama: €15 (including one drink)
Free activities I enjoyed:
- Exploring Alfama's narrow streets and viewpoints
- Watching sunset from Miradouro da Senhora do Monte
- Browsing LX Factory's creative spaces
- Walking through Príncipe Real gardens
- Discovering street art in Bairro Alto
- Visiting Igreja do Carmo's earthquake ruins
- Strolling along the Tagus River waterfront
Free & Cheap Culture Tips
- Sunday mornings – Many museums offer free entry until 2pm for Portuguese residents (some extend to EU citizens)
- Igreja de São Vicente de Fora – €4 entry includes access to incredible azulejo tiles and rooftop views
- Free walking tours – Several companies offer tip-based tours (I gave €10 for a 3-hour tour)
- Church visits – Most beautiful churches are free, including São Vicente and Sé Cathedral
- Viewpoints (miradouros) – All free and offering million-euro views
- Beach day in Cascais – Take the train (included in transport pass) for a free beach day
Day-by-Day Budget Breakdown
Here's exactly how I spent my money each day:
Day 1: Arrival & Alfama Exploration
Total: £18
- Transport from airport: Included in weekly pass
- Breakfast: Coffee and pastéis de nata (€2.50)
- Lunch: Bifana and beer at local tasca (€5)
- Dinner: Bacalhau à Brás at traditional restaurant (€9)
- Groceries for hostel: Bread, cheese, fruit (€4)
Day 2: Belém District
Total: £28
- Transport: Included in pass
- Jerónimos Monastery: €10
- Original pastéis de nata at Pastéis de Belém: €2.50
- Lunch: Fresh seafood at local restaurant: €8
- Dinner: Self-cooked at hostel: €3
- Wine from local shop: €4.50
Day 3: Sintra Day Trip
Total: £22
- Train to Sintra: Included in pass
- Pena Palace entrance: €14
- Breakfast: Coffee and toast in Sintra: €3
- Lunch: Packed sandwiches: €2
- Dinner back in Lisbon: Francesinha sandwich: €7
Seasonal Budget Considerations
When to Visit for Best Value
- Best budget months: October-March (avoid Christmas/New Year)
- Shoulder season: April-May, September-October offer good weather and reasonable prices
- Peak season: June-August – expect prices 30-50% higher for accommodation
- Winter bonus: Many museums and attractions offer reduced prices November-February
What I Could Have Saved Money On
Looking back, here's where I could have been even more budget-conscious:
- Fado performance: Free fado happens in many bars – I paid for a touristy show
- Souvenirs: I spent £25 on ceramics and Portuguese wine to take home
- Coffee: Could have used hostel coffee more often (though Portuguese coffee culture is worth experiencing!)
- Museum entrances: More free museums and churches could have replaced paid attractions
Splurges That Were Worth It
- Jerónimos Monastery (€10): Absolutely essential – one of Europe's most beautiful buildings
- Pena Palace, Sintra (€14): Like stepping into a fairy tale
- Quality Portuguese wine (€15 total): Exceptional local wines for the price of one glass in London
- Fresh seafood lunch in Belém (€8): Grilled sardines by the river – pure Portuguese perfection
The Bottom Line
Lisbon proved that you can have an incredible European capital experience without spending a fortune. For £50 a day, I:
- Stayed in comfortable, clean accommodation
- Ate amazing Portuguese food at every meal
- Visited world-class museums and attractions
- Took a day trip to magical Sintra
- Experienced authentic fado music
- Explored every neighborhood from Alfama to LX Factory
- Never felt like I was "budget traveling" or missing out
The secret to budget travel in Lisbon isn't about finding the cheapest options – it's about discovering that the authentic Portuguese experience happens to be incredibly affordable. The best pastéis de nata cost €1.20. The most atmospheric restaurants serve hearty meals for €8. The most beautiful viewpoints are completely free.
Lisbon doesn't just accommodate budget travelers – it rewards them with the same incredible experiences that luxury travelers enjoy, just with a bit more research and willingness to eat where locals eat and stay where locals recommend.
Final Budget Travel Tips for Lisbon
- Learn basic Portuguese phrases – Locals appreciate the effort and often offer better prices
- Download offline maps – Save on data roaming and discover hidden streets
- Visit local markets – Mercado do Bolhão for fresh produce, Feira da Ladra for antiques
- Pack comfortable walking shoes – You'll save on transport and discover more
- Bring a reusable water bottle – Public fountains throughout the city
- Accept that hills are part of the experience – The views from the top are worth every step
Have you traveled to Lisbon on a budget? Share your money-saving discoveries with me on Instagram @discoverysiren – I'm always looking for new ways to experience this incredible city!
← Back to Blog