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Cheap Hotels: Just How Cheap are They?

With the price of holidays on the rise, more of us are seeking out cheaper deals on flights, hotels and car hire. But thousands of out-of-pocket holiday makers are coming to the realisation that cheap doesn't always mean cheap. You can avoid paying more than you expected for your so-called 'cheap' hotel if you know what to look for.

The most obvious, and perhaps the best-known, is the mini-bar. Having a fridge full of treats, snacks and alcohol in your hotel room might be tempting, but unless you really want to pay upwards of £1 for a small chocolate bar, or £4+ for a tiny bottle of vodka, it's better to grab any snacks from the shop down the road. If you do decide to throw caution to the wind and raid the mini-bar, make note of exactly which items you consume, and their listed prices. It is not unheard of for tourists to be billed for items they didn't take out, or overcharged. Keep all wrappers/cans/bottles if necessary, and check your bill thoroughly before you leave.

On the subject of food, some hotels charge for breakfasts separately, yet don't always make this immediately clear. You may be able to get a reduction in the cost of your room by making your own arrangements of a morning; going to the local café for breakfast will undoubtedly get you nicer food for the same, if not less, than you'd pay in the hotel for coffee and a muffin.

Beware of hotels which offer a laundry service. While not a bad thing in itself, you'll pay dearly for the convenience. Better to buy a cheap box of washing powder and wash your smalls in the bathroom sink, and use a local launderette for larger items. Using the hotel service may end up costing you more than you paid for your clothes brand new!

Perhaps the most important thing to watch out for, before you book, is VAT. Currently set at 15% in Britain, different countries have different rates. The Czech Republic, for example, sets a rate of 22%. These amounts are not always included in the advertised price of the holiday, as travel agents want to make their prices look as low as possible. So look out for the magic words 'including VAT' before you book.

Cheap hotels can be just that if you opt out of the overpriced extras. Most hotels will inform you beforehand of their prices, so avoiding them is easy. When you compare hotels for different prices look for VAT being added or excluded.

J Tillotson

J Tillotson is a UK author specialising in finance, energy and communications

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