I have quite an extended family in the UK which means we visited and stayed with different uncles and aunts while there. This didn't eliminate the need for hotels, but did lessen the number of nights we stayed in them.

We generally find our hotels online using services like Expedia or CheaperThanHotels to find places to stay. Great deals can be had at London Hotels, Edinburgh Hotels, and Glasgow Hotels, especially if you are willing to risk waiting until the last minute. We like to find places that are central, close to public transit, and (if possible) have a kitchen or kitchenette. Three of the four places we stayed in the UK for our vacation this month had those amenities. A kitchen reduces the amount of time you spend eating at restaurants, which are--in the UK--very expensive. This doesn't mean we don't end up eating out at all. We had a terrific meal, for example, at Ignite, a fabulous Indian Restaurant in Edinburgh.