Is an all-inclusive holiday really better value?
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Monday 2nd November 2026
Last updated: 3rd November 2026
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Pages in this SectionAn all-inclusive holiday can make budgeting simpler. With meals, drinks and accommodation covered in the booking price, you have a clearer idea of what you’ll spend before you leave home.
But does that make it better value? It depends on the price difference, what’s included and how you like to spend your time away. If you enjoy relaxing days by the pool, you might use much of what you’ve paid for. If you’re out exploring from breakfast until bedtime, some of those inclusions could go unused.
Here’s how to compare the options and work out which gives you more for your holiday budget.
Key takeaways
All-inclusive can offer good value if you’ll regularly use the meals, drinks and facilities included.
Compare the total cost of your trip, including likely spending while you’re away.
Check the hotel’s inclusions carefully, as restaurants, drinks and activities can vary.
Your plans matter: days out and meals elsewhere can reduce the value of an all-inclusive package.
Allow for costs outside the booking price, such as insurance, excursions and airport spending.
What does all-inclusive actually include?
All-inclusive generally means your accommodation, main meals and a selection of drinks are covered by the price. Snacks, entertainment and some activities may also be included, depending on the hotel. Travel providers make clear that the details vary between properties, so check the individual description before booking.
It also helps to separate the hotel’s board basis from the wider holiday package. All-inclusive describes what you receive at the accommodation. Check the booking separately to confirm whether flights, checked luggage and airport transfers are included.
Other common board options give you different levels of flexibility:
Board basis | What it generally covers | What to check |
|---|---|---|
Room only | Accommodation without meals | Whether there are cooking facilities or nearby places to eat |
Self-catering | Accommodation with facilities to prepare food | The kitchen equipment provided and access to food shops |
Bed and breakfast | Accommodation and breakfast | What you’ll spend on other meals and drinks |
Half-board | Accommodation, breakfast and usually an evening meal | Which meals are included and whether drinks cost extra |
Full-board | Accommodation, breakfast, lunch and an evening meal | Whether drinks and snacks are included |
All-inclusive | Accommodation, main meals and a selection of drinks, often with further inclusions | The exact restaurants, drinks, serving times and activities covered |
These are starting points for comparing holidays. The booking description should confirm the arrangements for your chosen property.
When could all-inclusive offer better value?
You plan to spend most of your time at the hotel
If your ideal holiday involves the pool, the beach and very little travelling around, you’re more likely to use the meals and drinks included.
Think through a typical day. Would you have breakfast at the hotel, stay for lunch and return for dinner? Would you use the entertainment or activities? The closer the package matches your plans, the more useful those inclusions become.
Meals, snacks and drinks are a significant part of your budget
Food and drink can be a substantial part of holiday spending, particularly when you’re buying for several people.
For a family, the cost of lunches, soft drinks and snacks between meals is worth factoring into the comparison. But check that the food choices and serving times work for everyone. An included lunch has limited value if it’s served while your toddler usually naps or your family is out for the day.
You value knowing more of the cost upfront
Value is also about how you want to manage your money while away.
You might prefer paying for more of the trip before departure, with a separate spending allowance for outings and extras. That can make the budget easier to plan, even where all-inclusive and other options work out at a similar total cost.
When might another option suit you better?
You want to explore most days
If you’re planning sightseeing trips, long walks or visits to nearby towns, you may miss meals at the hotel and buy food elsewhere.
That doesn’t automatically rule out all-inclusive. However, your comparison should reflect the meals you’ll actually use. Paying for lunch at the hotel and then buying lunch on a day trip adds to the overall cost.
Eating out is a highlight of your holiday
Trying local restaurants might be one of the things you look forward to most. If you’d like to choose somewhere different each evening, bed and breakfast or self-catering could give you more flexibility.
Be realistic about your preferences. Choosing a package that makes you feel obliged to return to the hotel for every meal may not give you the holiday you wanted.
The upgrade costs more than you expect to spend
Sometimes the extra cost of all-inclusive is relatively small. In other cases, there’s a sizeable difference.
If the upgrade costs £700 for your group, but you expect to spend £450 on the meals and drinks it would replace, it may be difficult to justify on cost alone. You might still prefer the convenience or facilities, but you’ll know what you’re paying extra for.
How to compare the total cost
Start with holidays that are reasonably similar. Compare the same dates, number of nights, departure airport, room type and standard of accommodation wherever possible.
Then add the spending you expect beyond the booking price.
An illustrative comparison
Here’s how two seven-night holidays for two adults could compare:
Cost for two adults | Bed and breakfast | All-inclusive |
|---|---|---|
Holiday booking, including the same flight, baggage and transfer arrangements | £1,400 | £1,850 |
Additional meals, snacks and drinks | £560 | £140 |
Excursions and local transport | £120 | £120 |
Total for the costs shown | £2,080 | £2,110 |
These figures are illustrative, rather than current holiday prices. They exclude costs such as travel insurance and getting to the UK airport.
In this example, all-inclusive costs £450 more to book but reduces estimated spending on food and drink by £420. The overall difference is £30.
That makes the decision more about which holiday you’d enjoy. If the bed-and-breakfast food budget rose, all-inclusive could become the cheaper option. If you planned more meals outside the all-inclusive hotel, its total cost would rise.
Work out your daily comparison
A simple calculation can help:
Extra cost of all-inclusive ÷ number of nights = extra cost per day for your group
For the example above, £450 divided by seven nights is around £64 per day for two adults.
Ask whether you’d otherwise spend more or less than that on the lunches, dinners, snacks and drinks covered by the upgrade. Remember to account for anything you’d still buy separately.
If you’re comparing different hotels, also consider the room, location and facilities. Part of the price difference may reflect the accommodation itself.
What should you check before booking?
Food choices and restaurant access
Look at which restaurants are included and whether any require reservations or extra payment. Check how many visits you can make to speciality restaurants and whether there are suitable options for dietary requirements.
Reading recent reviews can help you understand the dining experience, but confirm important requirements directly with the hotel or provider.
Drinks and serving times
Check which drinks are included, where you can order them and during what hours. Don’t assume every brand or item on the menu is covered.
For example, Jet2holidays explains that all-inclusive arrangements vary by hotel and that included drinks may be available within specified times.
Your arrival and departure arrangements
Find out when your all-inclusive entitlement begins and ends. If you arrive late or have an evening flight home, ask what food, drinks and facilities you can use outside normal check-in and check-out times.
Activities and other extras
Before adding an activity to the “included” side of your comparison, confirm that it’s covered. Make a separate allowance for anything you want to do that costs extra.
Your wider holiday budget might also need to cover:
Travel insurance.
Airport parking or transport.
Food and drinks during the journey.
Excursions and meals outside the hotel.
Local taxes or charges payable separately.
Souvenirs and personal spending.
Choosing a holiday that fits your budget
All-inclusive can offer good value when the package matches how you want to spend your holiday. The useful question is whether you’ll enjoy and use what’s included, and how the total cost compares with the alternatives.
Set an overall budget before choosing your board basis. Then leave some room for the experiences and extras that matter to you, whether that’s a boat trip, a special meal or a day exploring somewhere new.
If you’re considering spreading the cost, a holiday loan could be one option. Factor the repayments into your regular budget and compare the interest rate, loan term and total amount repayable before deciding whether borrowing is right for you.
Frequently asked questions
Is all-inclusive cheaper than self-catering?
It can be, but it depends on the booking price and what you would spend on food and drinks. Self-catering may cost less if you plan to prepare meals, while all-inclusive could compare more favourably if you would otherwise eat out regularly. Compare the total cost of both options.
Is all-inclusive worth it if you don’t drink alcohol?
It can be. Meals, soft drinks, snacks and any included activities may still make the package worthwhile. Base the comparison on what you’ll use, rather than the full list of inclusions.
Do you still need spending money on an all-inclusive holiday?
It’s sensible to budget for spending outside the package. You may want money for excursions, local transport, shopping, meals elsewhere or services that aren’t included.
What’s the difference between full-board and all-inclusive?
Full-board generally covers breakfast, lunch and an evening meal. All-inclusive usually adds a selection of drinks and may include snacks and other benefits. Check the property description for the precise arrangements.
Written by
Anna Stacey is a Content Marketing and SEO Executive at Novuna, specialising in content for personal and consumer finance. With over six years’ experience in digital content and marketing, she writes about personal loans, everyday budgeting and the costs involved in major purchases and life events. Her articles help readers understand their options and consider the practical costs of their plans.
