But yes, the low budget is part of the formula for success. Without a ton of money, they had to rely on wit and creativity. Most shows now have comparatively gargantuan budgets, and it goes on big sets, big effects and big names, but the things that actually make a show good (compelling story, enjoyable writing) are unbottleable magic that you can’t just buy.
Red Dwarf used practical effects in the era when VideoToasters were a thing. For some reason the BBC replaced the lovely miniature shots of space ships with crap CG in a mid-2000s remaster.