Lanzarote has a reputation for being slightly more “upmarket” than Tenerife, but that doesn’t mean it’s off-limits if you’re on a budget. In fact, if you know which resorts to target for 2026, you can find 4-star all-inclusive deals for the same price as a self-catering break in the UK.
The secret to a cheap Lanzarote holiday is knowing the “Value Hubs.” Costa Teguise and the Matagorda area of Puerto del Carmen are consistently the best places to look for deals under £500pp.
Matagorda: This is the quieter, more spacious end of Puerto del Carmen. Hotels like Sol Lanzarote often run incredible early-bird deals for 2026. You get a massive beach, great pools, and you’re only a 5-minute taxi ride from the main nightlife.
TUI Suneo & Jet2Smart: These are the “value” brands of the big tour operators. Resorts like TUI Suneo Lifestyle in Costa Teguise focus on what matters: clean, modern rooms, good quality “included” food, and a great pool. They cut out the “fluff” (like pillow menus and valets) to keep the price down.
Timing is Everything If you want a bargain for 2027, the “Golden Months” are January, May, and November. Because Lanzarote has a year-round spring climate, you’ll still get 20 degrees to 23 degrees sun, but because these months fall outside of school holidays, the flight prices drop through the floor.
The “No-Spend” Strategy The beauty of a cheap all-inclusive is that you can literally leave your wallet in the safe. If you pick a hotel like HL Paradise Island in Playa Blanca, which has its own on-site waterpark included in the price, you’ve essentially paid for your flights, accommodation, food, drink, and a week’s worth of activities for one flat fee.
That is how you “win” at budget travel.
Subscribe to see secret deals prices drop the moment you sign up!
