We really enjoyed our 3rd holiday in Funchal (we last came in 2008 and 2009) and we will probably return again even though we hardly ever do that. It is just such a great place to relax - in great hotels, with great scenery, great weather and good food and drink. I have to say we paid about over 3 times as much for our flights this time and the hotels weren't cheap but it was July and I hear flights have gone up considerable lately.We paid £310 each for our Thomsons flights plus £30 each for luggage which hurt a bit I can tell you.
We stayed 3 nights at Cliff Bay as we had stayed there before and loved it but they didn't have the full week available at a price we could afford (260 euro a night rooms were all they had left. (we did book last minute) - so we went down to the Vine Hotel for 4 nights. We liked the look of the rooms there and thought it would be nice to wander around both areas during the week and The Vine was only 130 euros a night for a Junior Suite. We didn't do a great deal apart from go for walks and go on the cable cars up and over to Monte and the Botanical gardens and eat out every night but to be honest we were there to relax and it was a bit hot to do a great deal. It seemed far hotter than the 24 - 25 degrees that were forecast - but it was better than rainy England. My hotel reviews and restaurant reviews are all up now if anyone is interested in taking a look. Here is the Vine one but if you click on my name you should be able to find the others.
Thank you to all the answers to my enquiries before we left.
ps. for all those who are wondering about prices - meals out were about 60 euros for 2 including wine but we never had deserts unless we were at the Armazem doing the set meal with wine for 35 euros per person. 2 gin and tonics (our tipple of choice) were anything between 6 euros at the blue welcome bar near the cathedral (furthest one down towards the sea) to 9.90 at the Teatro cafe or on the Marina. Beers were 1.5 to 2 euros. The Murahlos vino verde wine that we liked was just under 4 euros a bottle at the supermarket but there are obviously cheaper ones. Cigarettes were 3.80 I think or 3.60. We didn't find anything overpriced. Apart from the flights. :)