This blog post is about where to stay in London on a budget.
London is known as an expensive city to visit, but honestly – it doesn’t have to be!
By finding a great place to stay on a budget, you can save so much money and travel London on a budget.
And it is absolutely possible to find a budget-friendly hotel without completely compromising on location.
The key here is to know which areas offer the best value for money, without leaving you miles away from the city center.
In this guide, I’ll break down the best budget-friendly neighborhoods in London, plus affordable hotels to stay at in each area.
Also, make sure to read till the end to learn the best travel tips that will help you save money without sacrificing your experience.
Let’s get started! ✈
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where to stay in London on a budget
Table of Contents
Where is the best budget area to stay in London?
The best budget area to stay in London is definitely King’s Cross.
This neighborhood is within a 20-minute walk from major attractions like the West End, the British Museum, and more.
In King’s Cross, you can find many options for nice affordable hotel chains and hostels, while offering a pretty central location on a budget.
If you are looking for a more trendy area, that is also on a budget, I recommend considering Bermondsey as well, which is a great neighborhood to stay in on a budget and is within a walking distance from the Tower Bridge and the London Eye.
where to stay in London on a budget
1. King’s Cross - Best Budget Area Overall
King’s Cross is one of the best areas for budget travelers because although it isn’t super central, it has amazing transportation connections, and you’ll be able to get almost anywhere in London quickly, which saves you both time and money.
King’s Cross is a fantastic choice for those who want to stay on a budget without compromising on convenience.
There are multiple Underground lines and national rail connections, and it’s one of the easiest places to base yourself if you want to both stay on a budget and also explore a lot of the city.
Best Hotels in King’s Cross:
The House of Toby is a lovey 4-star boutique hotel located in King’s Cross, offering a great location with budget-friendly pricing.
The rooms are modern designed, offering a great experience with friendly and helpful staff in a convenient location.
This hotel received a reviews score of 8.1 out of 885 reviews on Booking.com!
Nearby Attractions:
- The British Museum – around 20 minutes away by public transport.
- Buckingham Palace – around 25 minutes away by public transport.
- Chinatown – around 25 minutes away by public transport.
- Tower of London – around 30 minutes away by public transport.
Closest grocery store – 📍 Waitrose & Partners, 11-minute walk.
Hub London – King’s Cross is a lovely 3-star hotel that provides everything you need for a comfortable stay.
The hotel is located only a few minutes walk away from the King’s Cross Station, easily connecting you to the rest of the city. The closest attractions are the famous Camden Market and also the British Museum.
This hotel is part of the world-famous Premier Inn chain. There’s also a nice breakfast being served daily at the hotel.
This hotel received a very good reviews score of 8.1 out of 229 reviews on Booking.com!
Nearby attractions:
- Camden Market – around 20 minutes away by public transport.
- British Museum- around 23 minutes away by public transport.
- Sky Garden – around 30 minutes away by public transport.
- Covent Garden – around 17 minutes away by public transport.
Closest grocery store – 📍 Tesco Express, 4-minute walk.
Keystone House is a comfortable 3-star hotel located in the heart of King’s Cross.
It is located only a few minutes walk away from the King’s Cross Station, making it perfect to easily access major attractions and neighborhoods in London.
The hotel received a very good reviews score of 8.0 out of 7,292 reviews on Booking.com!
Nearby attractions:
- Camden Market – around 16 minutes away by public transport.
- Covent Garden – around 15 minutes away by public transport.
- Big Ben – around 23 minutes away by public transport.
- Notting Hill – around 25 minutes away by public transport.
Closest grocery store – 📍 M&S Simply Food, 6-minute walk.
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2. Paddington - Best for Cheap Hotels in Central London
Paddington is a more central neighborhood in London that is actually packed with budget hotels in a central location close to Hyde Park.
While it may not be the trendiest neighborhood, it is a quiet, local neighborhood that offers convenience, solid transportation options, and plenty of budget-friendly accommodation options.
Best Hotels in Paddington:
Tudor Court Hotel is a lovely 3-stars hotel located in a beautifully preserved Victorian townhouse, in the heart of Paddington.
It is only a 1-minute walk away from the Paddington Station, making it very convenient to exploring the city.
The rooms are modern and comfortable, and are perfect for either solo travelers, families, couples, and more.
This hotel received a very good reviews score of 8.0 out of 1,931 reviews on Booking.com!
Nearby attractions:
- Hyde Park – 10-minute walk.
- Oxford Street – around 15 minutes away by public transport.
- Buckingham Palace – around 25 minutes away by public transport.
- Notting Hill – around 20 minutes away by public transport.
Closest grocery store – 📍 Sainsbury’s Local, 4-minute walk.
Grand Concerto Hotel is a lovely 4-star hotel located in the heart of Paddington, only a 5-minute walk away from Paddington Station and the Heathrow Express.
This means this is a super convenient hotel, offering a great base to explore London (and even easily go on day trips from).
It is located close to Hyde Park, and is also very close to Oxford Street, Regent Street, and more.
Although the hotel is very centrally located, it is still located on a quiet street, making it a perfect hotel for a central and quiet stay.
This hotel received a very food reviews score of 8.0 out of 665 reviews on Booking.com!
Nearby attractions:
- Hyde Park – 10-minute walk.
- Oxford Street – 23-minute walk/18 minutes away by public transport.
- Kensington Palace – 20-minute walk.
- Notting Hill – around 16 minutes away by public transport.
Closest grocery store – 📍 M&S Simply Food, 7-minute walk.
39 Studios is a lovely apartment hotel that offers modern studio apartment in a central location in Paddington.
Each studio unit includes a bedroom, private bathroom, and a kitchenette.
Some studios are family-friendly as well. The Queensway and Bayswater Underground stations are a 5-minute walk away, and Oxford Street, Marble Arch, and Kensington are within a 20-minute walk.
This hotel received a great reviews score of 8.1 out of 2,648 reviews on Booking.com!
Nearby attractions:
- Hyde Park – 10-minute walk.
- Kensington Palace – 11-minute walk.
- Notting Hill – around 23 minutes away by public transport/10-minute drive by taxi.
- Covent Garden – around 28 minutes away by public transport.
Closest grocery store – 📍 Sainsbury’s Local, 7-minute walk.
3. Stratford - Best Budget Area for a Quieter Stay
On my first trip to London, we actually stayed in Stratford.
Stratford is a great neighborhood in East London, It’s part of Greater London and is well connected to central areas like Oxford Circus and Westminster.
We decided to stay here because we were on a tight budget, and we had around 5 or 6 full days in the city, so we didn’t mind the travel time to the central parts of the city, and we also planned our days smartly.
Stratford has great budget-friendly accommodation options. In fact, many travelers find they can save around 30–40% on accommodation costs compared to central London stays.
It is also extremely well connected to the city, and there’s also a huge Westfield Stratford City shopping center where you’ll have everything from restaurants, grocery stores, and many shopping options.
Best Hotels in Stratford:
If you aren’t familiar with Moxy Hotels, I highly recommend finding more about them!
The Moxy London Stratford is the hotel we stayed at during our trip, and we LOVED it here.
In fact, we loved Moxy Hotels so much we decided to stay in a Moxy Hotel in Copenhagen as well.
But anyways, back to London – the Moxy Hotel is a great hotel in Stratford, only a short walking distance from the Stratford Station and from the Stratford Westfield shopping center.
The rooms are modern, comfortable, and the whole vibe of the hotel is amazing.
Also, random facts – it’s a pet-friendly hotel! So in case you are lucky and traveling with your furry friend, you can bring them here too!
This hotel received a great reviews score of 8.4 out of 4,456 reviews on Booking.com!
Nearby attractions:
- Tower of London – around 25 minutes away by public transport.
- Camden Market – around 35 minutes away by public transport.
- Covent Garden – around 30 minutes away by public transport.
- Hyde Park – around 30 minutes away by public transport.
Closest grocery store – 📍 Sainsbury’s, 1-minute walk.
YOTELPAD London Stratford is a unique 4-stars hotel that offers modern rooms and a great overall experience.
It’s a 7-minute walk away from Stratford Tube Station, and only a few minutes walk away from the Westfield Stratford shopping center.
This hotel received a great reviews score of 8.5 out of 1,272 reviews on Booking.com!
Nearby attractions:
- Tower of London – around 33 minutes away by public transport.
- Covent Garden – around 36 minutes away by public transport.
- Camden Market – around 38 minutes away by public transport.
- The British Museum – around 33 minutes away by public transport.
Closest grocery store – 📍 Fresco Food & Drinks, 4-minute walk.
The Westbridge Hotel Stratford is lovely 4-star hotel within a beautiful building dating back to the 18th century.
The hotel features a great fitness center, as well as a delicious breakfast that is served daily at the hotel.
The Stratford Underground Station is only a 5-minute walk away.
This hotel received an excellent reviews score of 8.6 out of 6,338 reviews on Booking.com!
Nearby attractions:
- Tower of London – around 33 minutes away by public transport.
- The British Museum – around 33 minutes away by public transport.
- Hyde Park – around 36 minutes away by public transport.
- Shoreditch – around 35 minutes away by public transport.
Closest grocery store – 📍 Lidl Grocery Store, 8-minute walk.
Budget Accommodation Types in London:
If you are wondering what types of accommodation are budget friendly in London, here are the top picks:
1. Budget Hotels
- Great for privacy
- Prices lower in areas like Paddington and King’s Cross.
2. Hostels
- Best for solo travelers
- Many offer private rooms too
3. Airbnb & Guesthouses
- Good for longer stays
- Can be cheaper in outer neighborhoods
Tips for Staying in London on a Budget:
One of the easiest ways to save money on accommodation in London is to book as early as possible.
As London is one of the most visited cities in the world, prices can increase dramatically closer to your travel dates, especially during peak seasons like summer and Christmas.
Here are my top travel tips for staying in London on a budget:
- Book early – Prices rise quickly.
- Stay near a Tube station – Saves time and transport costs.
- Avoid peak seasons – Summer = highest prices.
- Consider Zone 2-3 – Cheaper but still well-connected.
- Look for free breakfast deals (bonus)
Common Mistakes to Avoid:
One of the biggest mistakes travelers make when choosing where to stay in London on a budget, is focusing only on the nightly price.
A hotel that looks cheap at first can quickly become expensive if it’s far from central London, and especially if you are in the city for a short trip and you are spending more money and time on transportation.
Another common mistake is booking without checking transportation links – this is crucial!
You should always make sure that your hotel is located near a Tube or Elizabeth Line station, so you can save both time and money on transportation.
Of course, whether you are on a budget or not, ALWAYS check the hotel’s reviews, and make sure the hotel is located in a safe area, has good reviews (I never book hotels with less than an 8 reviews score).
That’s it for today! I hope you got an idea of where to stay in London on a budget, and found some nice budget-friendly hotels in London 💕
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This blog post was about where to stay in London on a budget.
