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The Nicest Budget Hotels In London For An Affordably Chic City Break

These are London’s coolest budget hotels, because you don't have to scrimp on style.

By Caroline Lewis
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David Cotsworth

The capital may have hundreds of eye-wateringly expensive hotels, but there are also lots of budget hotels in London – and luckily these days that doesn’t have to mean scrimping on style.

Bargain rates and stylish design? We kid you not. Take Shoreditch’s Mama Shelter, which brings laid-back Parisian vibes to London’s coolest corner. Or your favourite local, The Princess Royal in Notting Hill, with a menu so good, you won’t know where to start.

While you’re in town, you’ll want to see the sights – for a central setting, try The Pilgrm in Paddington or Z Hotel Covent Garden.

All of these budget hotels in London have great locations, whether you’re coming to town to see the iconic landmarks or are in search of the more creative quarters, like Portobello Market. And if you're after a romantic hotel in London, some of these have rooftop terraces to cosy up together, rooms with their own hot tubs and great restaurants for date nights.

You’ll be able to spend your days (and the money you’ve saved on your hotel) shopping in Seven Dials or Spitalfields, seeing a show at a West End theatre or eating in some of the buzziest restaurants in the country. Budget-friendly (ie totally free) activities include tracking down Shoreditch’s best street art or walking through the capital’s royal parks.

Here’s the ELLE UK edit of the best budget hotels in London…

The Princess Royal, Notting Hill

budget hotels in london
Courtesy of the hotel

A classic London pub but with rooms for you to spend the night, the Princess Royal is one of Notting Hill’s most stylish stays. The setting is hard to beat – the desirable postcode means you’ll be close to Portobello Market for a start. The four rooms have artfully clashing wallpaper and headboards, and there’s a garden to enjoy a glass (or three) of rosé on.

There are lots of brilliant restaurants and bars in the neighbourhood, but you’ll be hard-pressed to beat the one you’re in – meals created by star chef Ben Tish include whipped 'nduja with fennel biscuits, English burrata with burnt peach and a house burger with Taleggio and aioli. Just make sure you save room for the doughnuts afterwards.

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Mama Shelter, London Shoreditch

budget hotels in london
Courtesy of the hotel

Importing its inimitable brand of Gallic chic across the Channel is the Shoreditch outpost of French hotel group Mama Shelter. Bringing yet another super-cool stay to the capital's hippest 'hood, Mama Shelter is unmistakably French (which only makes it even cooler). It has everything a hipster needs, including bold interiors and eye-catching artworks on the ceilings, as well as mismatched lampshades and pineapples adorning the tables.

Shoreditch’s rowdy nightlife is just outside, but the perfect night out will likely involve some out-of-tune singing in the hotel’s karaoke rooms instead. First, head to the Garden Bar, located in a covered courtyard, to enjoy craft cocktails and snacks such as mushroom arancini, truffle burrata and Korean chicken bites to soak up the alcohol.

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Kingsland Locke, Dalston

budget hotels in london
© Ed Dabney

If you're coming to the capital for a longer stay, locate one of these sets of apartment-style suites for a home from home. The Locke group has created stylish aparthotels all over the country, as well as in European destinations such as Munich and Berlin. There are a handful in the capital, including on Tower Bridge Road and Leman Locke in Aldgate – also making waves is Ember Locke in Kensington, which has especially extra interiors. In the Dalston edition, you’ll be temporary locals in one of London’s coolest quarters.

Restaurant Kraft Dalston serves up German beer and food inspired by Latin America and Japan; and the aparthotel also has a workspace, a coffee shop and, naturally since this is East London, a microbrewery.

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The Pilgrm, Paddington

budget hotels in london
Courtesy of the hotel

If you're arriving by train (even better if your train is due to chug into Paddington Station), this hotel is the ideal option for rail travellers. Close to Hyde Park, as well as Notting Hill and Marylebone, this Paddington hotel is the perfect place to base yourself during a trip to the capital and just steps from the station. The renovated Victorian building now houses a regularly changing art collection, a cosy lounge that’s perfect for some laptop time and a cocktail terrace overlooking the bustling streets below.

At the Pilgrm, the decor features bold blue carpets, repurposed radiators and lots of plants, as well as wrought-iron railings and glossy parquet floors. It also serves a mean brunch at weekends.

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Z Hotel Covent Garden, West End

budget hotels in london
Courtesy of the hotel

Central London may be home to some of the priciest real estate on the planet, but there are nonetheless some affordable hotels to track down. So if you’re in search of a budget hotel in London in the heart of the city, try Z Hotel Covent Garden, which overlooks the famous piazza. It’s ideal for theatre-lovers, since you’ll be within a swift walk of the West End, as well as the shops of Seven Dials, several museums (including the British Museum), and some of the best restaurants and bars in town.

The hotel is right next to St Paul’s Church, with a view out across the rooftops from many of the rooms.

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Nhow London, Islington

budget hotels in london
Courtesy of the hotel

To dig a little deeper, try a more residential neighbourhood for your next trip to the capital. This budget London hotel is located between Hoxton, Islington and Shoreditch, and is as unconventional as its area, with artworks that range from graffiti to royal portraits, colour-pop doors in homage to Notting Hill and a restaurant that riffs on the classic British pub. It's close to Farringdon, too, so you'll be able to enjoy the restaurants, bars and clubs that this part of London offers.

Nhow London
welcomes dogs, so you can bring your four-legged friend to enjoy some afternoon tea with you and relax with some canine pampering.

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The Bedford, Balham

budget hotels in london
© Johnny Stephens

Another budget London hotel for visitors hoping to see beyond the main tourist hubs is this South London stay, which is essentially a live music venue with rooms. The Bedford in Balham is a Grade II-listed public house that was built in 1931. The venue has hosted comedy nights and gigs by Ed Sheeran; and its Sunday roasts are said to be among Balham’s best.

There are 15 bedrooms – with Hypnos beds, rainfall showers and roll-top bath tubs – five bars and a restaurant with vegan and vegetarian options on the menu. Other famous faces to have once graced the Club Room include Sam Smith, Eddie Izzard and Michael McIntyre.

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New Road Hotel, Whitechapel

budget hotels in london
Courtesy of the hotel

If you're hoping to explore East London, check in to New Road Hotel. This boutique hotel, set in a former textile factory, is in Whitechapel, but it could be in New York. Original industrial accents include exposed brickwork and high windows (meaning lots of natural light, a bonus in the Big Smoke). For the ultimate city retreat, book the hotel's Loft room, which has its own terrace and hot tub.

The East London locale puts guests close to Whitechapel Gallery, Leadenhall Market (AKA Diagon Alley from Harry Potter), St Katharine Docks and the Tower of London. You'll also be able to stroll up to Spitalfields Market and attempt to choose between the several Indian restaurants that line Brick Lane.

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The Laslett, Notting Hill

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The Laslett

A stone’s throw away from Notting Hill Gate station is the Laslett, which takes its name from Rhaune Laslett, the founder of Notting Hill Carnival. Composed of five Grade II-listed townhouses, this West London gem is not only in the heart of one of the capital’s most well-heeled areas — Portobello Road is less than a 10-minute walk away — but it’s also eclectically designed, given that its aesthetic is the brainchild of British architect Tom Barlett's studio Waldo Works.

If you get peckish during your stay at the Laslett, breakfast is provided from 6am in the hotel’s Henderson Bar, which takes its name from another of Carnival’s founding fathers, Russ Henderson, and late-night snacks are available, too.

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Moxy London Stratford, East London

budget hotels in london
© Andrew Horwitz

The Moxy brand has affordable stays all over the world, including North America – its Chelsea edition in New York is a particular highlight. At the Stratford outpost in East London, guests can expect good value, sleek design and top eco credentials. The bar is open around the clock for late-night cocktails and there are communal areas to hang out in if you’re feeling sociable.

It’s right next to Westfield for shopping and dropping, and you’ll also be in prime position for exploring the Queen Elizabeth Olympic Park and reliving the summer of 2012. And the Central Line will whisk you to the West End in a matter of minutes, for when you fancy venturing further afield.

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The Spread Eagle, Wandsworth

budget hotels in london
Courtesy of the hotel

London excels in the art of the Great British boozer – there are so many to while away an afternoon in, or you can go one step further and stay in one with a trip to the Spread Eagle, which began life as a traditional pub. This budget hotel in London is set in a listed building in Wandsworth. The classic Victorian watering hole has 21 bedrooms, with period features such as etched glass, reclaimed wooden floorboards and brass fixtures. It’s nostalgic in the best possible way.

The menu has all the old British favourites on there, but it’s not stuck in the Seventies: the prawn cocktail has been joined by dishes such as burrata with heritage tomatoes and plant-based burgers.

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Hart Shoreditch

budget hotels in london
Courtesy of the hotel

Hart is on Great Eastern Street in Shoreditch, making it a budget London hotel for bargain-hunting hipsters. Naturally, there’s a workspace for hanging out with your MacBook at. For something a little more substantial than a flat white, stick around for lunch or dinner at the Latin American restaurant Mostrador.

On your doorstep are the shops of Redchurch Street (officially one of the best shopping streets in the world), the restaurants of Brick Lane and some of London’s best nightlife. It’s also an excellent idea to set off on a street-art tour, since there are some incredible graffiti artists at work in the neighbourhood.

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Bermonds Locke, Bermondsey

budget hotels in london
Edmund Dabney

Sister property to Kingsland Locke (with a few more siblings scattered around the capital and indeed the Continent), Bermonds Locke is on Tower Bridge Road. The location means you’ll be perfectly placed for strolls along the South Bank, trips to Borough Market or a riverside pub, and all of the renowned restaurants around the corner on Bermondsey Street. You'll also be within walking distance of getting London's ultimate money shot: Tower Bridge.

There’s a workspace and coffee shop in the lobby should you be here to work and play, and an events calendar in keeping with the brand’s ethos as a community hub.

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CitizenM London Bankside, Southwark

budget hotels in london
Booking.com

CitizenM London Bankside is all about the location, namely a prime riverside postcode with access to many of London's key sights. It's set just a block back from the Thames, and is a short walk away from itinerary essentials such as Borough Market, Southwark Cathedral and Tate Modern. As the name suggests, it’s also near the banks of the Thames and it’s just a 10-minute walk from London Bridge station.


The hotel has a canteen, but this close to Borough Market, you’ll be spoilt for choice with every kind of street food imaginable and a hard to beat buzz.

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Green Rooms, Haringey

budget hotels in london
Booking.com

A little away from the action but the perfect hotel for visitors in search of something a little different, Green Rooms is close to Wood Green Tube station in North London – from King’s Cross, the journey time is a swift 12 minutes. It’s especially appealing for artists and anyone working in a creative industry, who are given a discount here.

The rooms are a little on the rustic side, and some have shared bathrooms, but if you like the sound of a social-enterprise hotel, it has a real community vibe, with regular art exhibitions, comedy nights and yoga classes.

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Inhabit Southwick Street, Paddington

budget hotels in london
Nicholas Worley

The Inhabit on Southwick Street in Paddington is the brand’s flagship stay. It’s a budget-friendly London hotel with impressive sustainability credentials – it has been accredited with B Corp status as well as a Green Key award.

If the city’s left you feeling a little frazzled, simply head to the hotel’s meditation pod or sauna. Wellness awaits at the restaurant, too: the menu is packed with cold-pressed juices, plant-based dishes and organic ingredients. It’s pet-friendly, with Hyde Park ready to let your pooch run wild around. And it’s just around the corner from Paddington station, which makes it ideal for anyone arriving by rail.

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