I’m going to a wedding soon and the couple getting married came to mine, which was an all-day event including a three-course meal and an evening buffet. They gave us £30 and a bottle of Prosecco as a present. Their wedding doesn’t start until 5pm, and the invitation says only entrées will be served. Because of that, I'm planning to give them a gift of similar value to the one they gave us - usually I’d spend more, but given their wedding will be a smaller event, is it OK to spend less?
Money Moral Dilemma: Friends' wedding will be smaller than mine was, so should I get a smaller gift?

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Spend whatever you would normally spend based on your friendship and what you can afford. It really is that simple.
It is important not to forget that they have invited you and it is often an honor to be invited to any wedding/party/etc.
One should never judge the size/value of their gift based on the other capacity/choice of how large or small an event is going to be.
You should base the gift on your friendship/etc and can use as a yardstick the monetary value of their gift to you if you wish but never on what they are to feed you, where this is and for how long.
We had three weddings this year and as all of our other family were invited we consulted and agreed a set value based on what the hosts had gifted in the past and their closeness to us. We would never borrow money to gift or have a party etc and keep our gifts to what we deem reasonable. One of my siblings is is very well off via hard work and they often go very high on the gift value at times when they do that we and my other siblings never follow
In conclusion, never base your gift on what the capacity of the other is to hold an event as we all have different financial circumstances/priroties and can't tell from a distance what their current financial situation is.
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Size of weddings and/or gifts has nothing whatsoever to do with anything.
Just get the gift you can afford that you feel is most appropriate for your friends. Best not to over-think it and just give something they will appreciate.
I guess good for you for having an inkling that thinking so may be somewhat warped, and for asking the question. But really, give what you normally would for the wedding of a friend of this rank. And hold your head high as a result.
Have you considered that they may be having a smaller wedding because that is all they can afford?
When I attend a wedding I give as generously as I can afford, if I've been invited to their wedding I obviously mean something to them.
Honestly I often feel the opposite to how you are, that my gift is not sufficient given the level of hospitality I am given.
You've indicated that "I'm planning to give them a gift of similar value to the one they gave us".
If you give your friends £30 and a bottle of Prosecco, my guess is that they will be happy with that.
Do you did the same with birthday presents too, OP?
A gift is an expression of warmth and generosity on someone's special day. In fact if the bride and groom cannot afford a big event, surely they are deserving of a larger gift than someone who can afford to spend a small fortune on a single day?
Or maybe they just have a different attitude to weddings.
Or they're a bit stingy, in which case, again, up to you how you react to that. Pretty sure they won't mind getting what they gave you.