It said a three-course meal for two people including a glass of wine cost, on average, just £40. Experts found it had previously struggled to match the cheap holidays offered by long-haul destinations.

But as prices of a holiday spike, the Algarve has managed to establish itself as a low-cost destination. Post Office Travel Money’s Laura Plunkett said: “It’s interesting to see the Algarve back at the top of the barometer chart again and this is largely down to the remarkable consistency in its low prices for meals and drinks. 

“Even though the Algarve has featured in the best value top 10 since 2010, it has struggled to match the cheapest long haul destinations on price in recent years. Now prices have risen in its closest competitors but remained low in Portugal. This has made the Algarve a great choice for holidaymakers who want to keep their holiday spending to a minimum.”

It’s not just the budget-friendly getaway that takes travellers to the Algarve in the winter either. It has increasingly become a popular destination for people wanting a more relaxed holiday with fewer crowds.

Fewer crowds does however mean that some restaurants and cafes might have seasonal opening hours, reports travel expert Marjut from The Smooth Escape. While she says she never had an issue finding somewhere to eat or drink, Marjut does admit that a summer trip might suit those looking for the bustling nightlife offered by Albufeira in summer.

YouTube content creators David McMullin and Robb Hillman also recommend heading to the Algarve for a winter beach holiday. In a video they said: “We’re in t-shirts and shorts most of the time, we do wear a jacket in the evening or the morning, or in the shade but other than that it’s really pleasant.

“Some people even get into the ocean. The best thing about the beach in the winter is that there are no crowds.”

David and Robb were also initially concerned about business being closed for the season. And while they also noticed some businesses were shut, they still found “tonnes of options” despite the lack of crowds.

For visitors not fancying a dip in the sea, the Algarve also boasts plenty of outdoor activities. With its rugged cliffs and hidden coves it has in recent years become a hit with tourists wanting to hike along the Atlantic coast. 

Trails such as the Seven Hanging Valleys and the Rota Vicentina (Fisherman’s Trail) offer dramatic landscapes and ocean views. They can take between four to eight days to walk in their entirety.