Europe > 🇵🇹 Portugal
The city by city Car or no Car advice for Portugal can be broken down into three similar questions - do you need a car in Portugal; is it worth it (based on costs), and ultimately - should you rent one? (a balance of the two).🚆 🚌⛴️ Do we need to rent a car in Portugal?
These scores are based on the quality of public transport and other travel options. If these are good enough to see the main points of interest, then you don’t need to rent a car.💰💶💳 Is it worth hiring a car in Portugal?
These scores reflect the practical factors that affect whether renting a car is convenient, good value, and stress-free.🏙️ Main Cities in Portugal
| CITY | IATA | Score |
|---|---|---|
| Alverca | AVR | |
| Braga | BGZ | |
| Corvo Island | CVU | |
| Faro | FAO | |
| Flores | FLW | |
| Funchal | FNC | |
| Graciosa | GRW | |
| Horta | HOR | |
| Lisbon | LIS | |
| Pico Island | PIX | |
| Ponta Delgada | PDL | |
| Portimão | PRM | |
| Porto | OPO | |
| Porto Santo | PXO | |
| Santa Maria | SMA | |
| São Jorge | SJZ | |
| Terceira | TER |
🚗 Should You Rent a Car in Portugal?
Portugal is a compact yet wonderfully diverse country. It features vibrant cities like Lisbon and Porto, golden Algarve beaches, lush wine valleys, and remote Atlantic islands. Whether you should rent a car in Portugal depends on what you want from your trip — city sightseeing, coastal exploration, or countryside wandering.
🚆 Why You Might Not Need a Car in Portugal
Fast, Affordable Trains 🚄
Portugal’s major cities connect smoothly by rail. You can travel from Lisbon to Porto in under 3 hours on fast Alfa Pendular trains, while the trip from Lisbon to Faro in the Algarve takes around the same time. These train journeys allow you to see the landscape without battling traffic.
ince 2008, Portugal has ramped up its rail investment substantially. Most notably, the government signed a major contract in 2025 for the new high-speed line between Lisbon and Porto — backed by the European Investment Bank and costing several billion euros. This line will cut travel time between the two cities from around three hours to just over one hour, thereby reshaping the country’s connectivity and boosting rail’s appeal.
Furthermore, Portugal is investing in modern electric trains, signalling systems, and regional upgrades that extend beyond just high-speed intercity links. For example, a recent programme worth around €746 million will bring 117 new electric multiple units to the network, improving reliability and reducing carbon emissions.
Eventually, two high-speed rail links will connect Portugal and Spain — one linking Lisbon to Madrid and the other connecting Porto to Vigo and Santiago de Compostela in Galicia. These projects will significantly enhance cross-border travel and integrate Portugal more fully into the European high-speed rail network. However, for now, Portugal still lacks the extensive high-speed services found in larger countries like France, Germany, or Spain. Most intercity services, including those between Lisbon and Porto, currently run on upgraded conventional lines rather than purpose-built high-speed tracks.
Walkable, Character-Filled Cities
Lisbon, Porto, and Coimbra all offer compact centres ideal for exploring on foot or by tram. Narrow streets, pedestrianised squares, and old-town lanes make driving more hassle than it’s worth — especially when parking is tricky.
Excellent Bus Links
Intercity buses reach areas the trains miss — especially in the Algarve and Alentejo regions. You can ride from Lisbon to Évora or Nazaré without needing a car, making it easy to reach inland gems or seaside resorts.
🚘 Why Renting a Car in Portugal Makes Sense
Scenic Freedom in the Countryside 🌿
Places like the Douro Valley, Serra da Estrela mountains, or remote Alentejo villages become incredibly rewarding with your own wheels. You can stop at vineyards, meadows, and miradouros (viewpoints) whenever you like.
Algarve Coastal Exploration
While the train covers main towns like Lagos, Faro, or Albufeira, many remote beaches and surf breaks are only accessible by car. Renting allows you to beach-hop and discover hidden coves at your own pace.
Azores & Madeira
On Portugal’s stunning Atlantic islands, public buses can be infrequent, and tours may not cover what you want. A car unlocks mountain trails, crater lakes, and clifftop views that otherwise remain out of reach.
🛣️ Driving in Portugal — Practical Notes
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Roads are generally in good condition, especially highways
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Many motorways use electronic tolls — check if your rental includes a transponder
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Old city centres often have narrow, cobbled streets — drive carefully and park outside the historic core
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Signage is clear, but roundabouts are frequent, so stay alert
💡 Car Rental Tips
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Lisbon (LIS) and Porto (OPO) airports offer the best selection of rental companies
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Renting in the city centre might cost more — airports often give better deals
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Manual cars are common and cheaper than automatics
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If you’re visiting the Azores or Madeira, book early — cars sell out in peak season
🧭 Conclusion
So — should you rent a car in Portugal?
✅ Yes, if you’re exploring the Douro Valley, the Azores, Madeira, the Alentejo, or the less accessible beaches of the Algarve.
🚫 No, if you’re sticking to Lisbon, Porto, or making quick city-to-city trips — Portugal’s trains and buses can get you there smoothly.