There is a lot of cheap accomodation available in Milan.
The Hotel Sorriso & Carillon has 3 stars and prices start from 35 Euros a night.
The Royal Hotel has 2 stars and that is available from 36 Euros a night.
Tulip Inn Delle Nazioni Hotel Milan is the cheapest that i know of where prices start from 33 Euros a night.
For more information regarding hotels in
Milan check out the following link:-
http://www.destination360.com/europe/italy/milan-hotels