Car rental prices in Europe drop 34% this summer compared to 2023

The cost of hiring a car in Europe this summer is 34% lower than two years ago. The average price for a week’s rental from July 26 to August 2, 2025, is around £384, down from £578 in 2023. Prices have decreased by 10% compared to last year, thanks to increased availability of new cars. Popular destinations like Nice and Dalaman show significant savings, with rental costs dropping from £638 to £412 and from £467 to £315, respectively. The decline in prices follows a period of high costs after the pandemic, when rental firms struggled to replenish their fleets. Now, with car production back to normal, rental companies can offer more competitive rates.