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By Western European standards Bulgaria is very cheap.
Bulgaria uses the Lev (The plural is 'Leva'. The exchange rate ranges from 2.2-2.9 to the £GBP - 2.31 at July 2009).
See www.xe.com for the latest exchange rate.
With the £GBP being weak against the Euro recently, Bulgaria is far cheaper than holidaying in the Euro zone.
A 2 course meal with a couple of beers or wine will cost around £5 (10 lev). Food is usually generously served.
Some reports claim that Bulgaria has the cheapest beer in Europe at an average of 49p (As of 2007). You can find some places selling for around 45p (1 lev).
Wine (Bottle) in a supermarket can be as cheap as 60p (1.50 lev) and it may surprise you but Bulgarian wine is of a very high quality.
Public transport is relatively cheap too.
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