Fancy a bargain? Ireland now has the cheapest hotels in western Europe according to a new survey.

Internet booking giants has confirmed that the collapse of the Celtic Tiger has resulted in a windfall for tourists to Ireland.

Coupled with the new government’s recent decision to drop the controversial travel tax, the news will boost plans by Irish tourist bodies to increase visitor traffic in 2011.

Prices across Ireland are now only marginally dearer than Eastern Europe and well behind England and France.

The hotel price index has been compiled by, one of the biggest internet booking sites in the world.

They surveyed the price of bookings at all of the 130,000 hotels who subscribe to their services, in 44 countries across the globe.

The findings concluded that Ireland has the sixth cheapest hotels of the 44 countries surveyed with an average room rate of just $110, four per cent down from the previous survey.

In Europe, only the Czech Republic, Poland and Hungary were found to be cheaper.

Hotel prices in Dublin, where competition is now severe after the take-over of several well known brands by the banks, are even cheaper.

A room in the capital now costs an average of just $103, down six per cent, making it one of the cheapest international cities for hotel beds and the 18th cheapest of 95 cities in the poll.

London came in at $190 a night, Paris at $170 and Rome at $160.

Kilkenny boasts the dearest hotel rooms in Ireland at $158 per room per night with Wexford and Galway the second and third most expensive at $154 and $141 respectively.

Waterford is the cheapest place to stay in Ireland with average room prices as low as $80. spokesman Seamus MacCormaic said: “Despite having a reputation as an expensive destination, Ireland is now one of the most affordable destinations in the world and Dublin one of the least expensive major cities.”