Iceland is a dream vacation spot for nature lovers, photographers, hikers, and road-trippers. It’s a small island nation within the North Atlantic, sandwiched between two tectonic plates which might be slowly pulling aside, leading to a rustic filled with pure wonders.
Nevertheless, a lot of what makes it a bucket-list vacation spot additionally makes it an costly place to go to; an Iceland funds can really feel formidable to plan for. Being an island, it depends closely on imported items, which pushes up the value of on a regular basis necessities. Labour prices and taxes are additionally excessive, which has a ripple impact on vacationers.
The excellent news is that with a little bit of strategic planning, sticking to an Iceland funds doesn’t have to interrupt the financial institution or cease you from visiting. On this information, I’ll share the prices of my week-long summer season highway journey in Iceland, plus the Iceland funds hacks I used to maintain issues frugal.
What you want to spend earlier than flying to Iceland
To provide you an thought of what you’ll have to pay prematurely of your Iceland journey, beneath are some costs based mostly alone analysis and expertise. Prices fluctuate seasonally and 12 months to 12 months, so do your individual analysis as soon as you realize precisely if you’ll journey.
Verify forward of time whether or not you want to apply for or pay for a visa. British residents don’t at present want one, however an ETIAS journey authorisation is predicted to be required within the close to future.
Return flights from London to Reykjavík
To journey from London through the summer season, you’re spending £250–£420 or extra on flights. Shoulder season (April – Could and September – October) is just a little kinder to your pockets, starting from roughly £130–£300 return.
You’ll discover higher offers off-peak, from November to March, when flights might be as little as £75 – £160 (this doesn’t embrace the vacations, when costs are inclined to soar). No matter if you fly, funds an additional £40 – £80 so as to add a cabin or checked bag.
Iceland automotive leases and related prices
We adopted different travellers’ recommendation and employed a 4WD with premium insurance coverage to accommodate fluctuating climate and unpredictable highway circumstances. This value round £850 for per week (by comparability, a small 2WD hatchback is roughly £300–£400 per week in summer season).
A full tank of petrol is ~£60–70 (10,000–11,500 ISK), and parking at most pure websites ranges from £4.50 to £6 (750–1000 ISK).
In 2026, rental corporations will sometimes cost a day by day charge (~£8) for the 2026 highway tax, which is roughly £0.04 (6.95 ISK) per kilometre.
The place to remain and the way a lot to pay
Lodging costs differ based mostly on location, time of 12 months, and the place your private preferences sit on a scale from rustic to luxurious.
The final word cash saver for a summer season highway journey is tenting. Campsites often cost per particular person moderately than per car/tent, sometimes £10 to £20 (1,800–3,500 ISK) per particular person, per night time.
A campervan rolls your transport and lodging bills into one — take a look at the Tenting Card and Mollie’s Iceland information to plan and e book your tenting journey.
Hostels and guesthouses can vary from £35 to £150/night time, relying on components like dorm vs non-public room, en suite vs shared rest room, and so on. Commonplace double rooms in motels alongside the Ring Street value round £160 to £300+/night time.
Reserving.com and Airbnb are my go-tos for locating nice room offers!
Saving cash whereas on the highway in Iceland
The excellent news is that whereas there are some unavoidably giant expenditures concerned in reserving a visit to Iceland, most main websites are literally free to go to. Nationwide parks, waterfalls, glacier lagoons, lava fields, and viewpoints sometimes don’t cost for entry; you’ll simply pay for parking.
I stored non-essential purchasing to a minimal, spending round £60 on a handful of items. I purchase a shot glass in each new place I journey to, and I acquired my Iceland one for £6 within the Geysir geothermal space’s present store, which is a mean worth for a vacationer memento.
Funds tip:
For those who plan to do any excessive sports activities, actions, or group journeys, examine costs prematurely so you’ll be able to issue them into your funds.
How to save cash on meals in Iceland
One of the costly elements of an Iceland journey is sustenance (the perils of being a sentient being). Whereas attempting native cuisines is a vital a part of travelling, it’s exhausting to discover a restaurant meal in Iceland that isn’t extortionate. The easiest way to lower your expenses in your highway journey is to buy sensible and put together meals for your self wherever you’ll be able to.
We stopped at a Netto grocery store proper by the airport, the place we picked up the automotive and stocked up on groceries for the entire journey. Bónus is one other nice funds chain to take a look at.
The primary store value round £65, which largely lined us for the journey. Reserving lodging with kitchen entry ensures that you would be able to put correct meals collectively. Lots of Iceland’s essential vacationer spots have cafes or meals vehicles, so we sometimes purchased a snack or a bowl of soup to heat up once we wanted one thing further, however the secret’s to be ready sufficient that consuming out is the exception.
A number of of my favorite money-saving meals hacks whereas travelling:
- Carry snacks, tea and low from house to cut back what you want to purchase if you’re there (a regular espresso in Iceland prices £4–6).
- Pack a big water bottle and a flask so that you just’re not spending cash every time you want to hydrate or caffeinate.
- Carry a freezer bag from house to maintain meals recent all through the day. In case your lodging has a freezer, pop a bottle of water in in a single day to make use of as an ice block.
- Take into account a small cooking package, and even simply cutlery, crockery, and containers (particularly if you happen to’re tenting). This makes it straightforward to throw collectively makeshift meals on the go — and in summer season, with daylight stretching till midnight, you’ll be able to fortunately picnic at 10 pm.
Getting round Iceland on a funds
Iceland doesn’t have a developed nationwide public transport system, so getting across the nation takes some planning. If you wish to keep in just a few completely different locations, e book lodging in response to your path to keep away from further journey time and gas prices.
In case your first cease is Reykjavík and also you don’t have a automotive, a taxi from the airport can value £90–£150 (15-25,000 ISK). The Flybus does the identical run for ~£24 one-way; I paid £57 for a return journey that included lodge drop-offs. It’s really helpful to e book your tickets prematurely, and don’t fear about delays, as departure occasions are based mostly on up to date flight arrivals.
For those who’re contemplating basing your self in Reykjavík and taking day journeys, examine costs towards automotive rent. Relying in your route, it’d make sense to hire a automotive for just a few days to go to extra rural locations, then e book budget-friendly journeys to different widespread websites by way of native guides (and even your lodging).
Empty that piggy financial institution and get reserving
There’s no avoiding the truth that Iceland is pricey. But it surely’s costly for a purpose, and it’s value each penny you save for it. It definitely helps that the jaw-dropping surroundings you’re continuously surrounded by doesn’t cost admission; it’s merely there to be admired.
For those who want an excuse to e book that journey you’ve been dreaming of, put it aside for an important day. Not solely does this justify the expense (traveller math), however it’ll make it much more memorable. I went simply after my birthday and determined it was my present to myself — and a present it really was.
Have you ever been to Iceland?
What had been the belongings you thought had been costliest in Iceland? Something you’d add to this Iceland funds ideas record?
You possibly can comply with Talia’s adventures on Instagram right here.