There’s something truly enchanting about spending Christmas in Iceland. Imagine fairy lights glowing against fresh snow, steam rising from hot springs in the crisp air, and the chance to see the Northern Lights painting the winter sky. December here is about warmth in the middle of darkness: a season of folklore, food, and festive spirit that transforms Reykjavík and the countryside alike.
At EastWest, we love this time of year because it shows Iceland at its cosiest and most magical. If you’re planning a Christmas trip, here’s what makes the season so special (and why you’ll want to plan early to secure your spot).
Christmas Traditions in Iceland
Christmas here is deeply rooted in folklore. Instead of one Santa Claus, Iceland has 13 Yule Lads: mischievous brothers who come down from the mountains one by one, starting on December 12th, to leave small gifts (or potatoes if they’ve been naughty!) in children’s shoes. The atmosphere is both magical and playful, with homes decorated in lights to brighten the long winter nights.
December 23rd, known as Þorláksmessa, is a day for last-minute shopping, candlelit walks, and the brave souls who follow the tradition of eating fermented skate. Christmas Eve is the main celebration: families gather for a festive meal, exchange gifts, and enjoy the quiet glow of the holiday. And then comes the Christmas Book Flood (Jólabókaflóð), the uniquely Icelandic custom of giving and receiving books, often read late into the night with chocolate or a hot drink.
The Flavours of an Icelandic Christmas
Food plays a central role in the celebrations. Some of the most typical dishes include:
- Hangikjöt (smoked lamb), served with potatoes, peas, and white sauce.
- Laufabrauð (leaf bread), thin, decorative bread fried crisp – a tradition often made together as a family.
- Fermented skate, eaten on December 23rd (prepare for a powerful smell – it’s not for everyone, but it’s a long-standing custom).
- Homemade cookies and festive pastries, which fill homes with warmth and the smell of Christmas.
Restaurants across Reykjavík and beyond offer special Christmas buffets (Jólahlaðborð), where you can try a mix of traditional flavours in one sitting.
Don’t forget to check out our post about traditional Icelandic food. You’re sure to find other great suggestions to try during your winter getaway!
Winter Weather and Atmosphere
In December, Iceland has only 4–5 hours of daylight, which gives the country its distinctive festive glow. Fairy lights and candles brighten the long nights, and the darkness creates perfect conditions for seeing the Northern Lights.
Snow is common, especially outside the city, so be ready for magical winter landscapes: waterfalls frozen into ice sculptures, black sand beaches dusted in white, and steaming hot springs surrounded by snow. Dress warmly, and you’ll discover that Iceland’s winter is made for exploring.
If you’d like to learn more about what the season feels like here, don’t miss our post on Iceland in Winter, where we explore everything from snowy landscapes to cosy hot springs.
Reykjavík at Christmas
The capital shines in December. Stroll down Laugavegur, Reykjavík’s main shopping street, where festive lights and Christmas markets set the mood. The Yule Town Christmas Market at Ingólfstorg is a favourite stop, with crafts, music, and seasonal treats.
At the heart of the city, you’ll also find ice rinks, concerts, and festive events that bring locals and travellers together. Reykjavík’s churches often hold beautiful Christmas services.
If you’re in Reykjavík over New Year’s Eve, prepare for a celebration you’ll never forget. Unlike in most countries, fireworks here aren’t organised by the city, but sold by the national Search and Rescue teams as a fundraiser. Almost every Icelander buys them, which means the entire sky above Reykjavík explodes with colour and sound at midnight.
The build-up starts already in the evening, with families setting off rockets and sparklers, and it continues well past midnight. One of the most popular ways to celebrate is to climb a hill (Perlan, Hallgrímskirkja church, or Ægisíða by the sea are local favourites) and watch as fireworks burst across the city from every direction.
The atmosphere is both festive and chaotic, with people gathered outside despite the cold, sharing hot drinks and celebrating together. It’s a once-in-a-lifetime experience, and one of the best times to see Reykjavík at its most alive.
On the other hand, we recommend you read our post about 10 top things to see and do in Reykjavík.
The Countryside: A Different Kind of Magic
Step outside the capital, and Christmas takes on a quieter, more intimate feeling. Small towns decorate their streets with lights, locals gather for concerts, and nature itself becomes the show. Imagine sitting in a geothermal hot spring while snow falls softly around you, or watching the Northern Lights dance above remote mountains.
So, joining a small-group tour is one of the best ways to experience the season. Classic routes like the Golden Circle and South Coast are even more striking in winter, with icy waterfalls, frozen craters, and vast glaciers glowing in the low sun. Out on the Snæfellsnes Peninsula, the snowy landscapes feel like stepping into a fairytale, complete with cosy meals to warm up after your adventure.
Planning Your Christmas Trip
Christmas and New Year are among the busiest times of the year in Iceland. With limited daylight, smaller group sizes, and high demand for tours, hotels, and restaurants, it’s essential to plan ahead.
- Book at least 3–6 months in advance for December travel.
- Tours often sell out quickly, especially between December 20th and January 1st.
- Restaurants in Reykjavík get booked out very fast. Keep in mind that many choose to close over the holidays, so availability is even more limited. If you want to enjoy a festive dinner in the city, make sure to reserve your table as early as possible.
At EastWest, we recommend planning your itinerary early to secure the best experiences. Whether you want to chase the Northern Lights, explore the South Coast, or enjoy a homemade festive meal in the countryside, December in Iceland is worth every step of preparation.
Experience the Season with EastWest
Christmas in Iceland is about warmth, tradition, and wonder in the middle of winter. From Reykjavík’s festive streets to the quiet beauty of snow-covered landscapes, every day brings a new story.
If you’re dreaming of celebrating the holidays here, let us help you make it happen. Our small-group tours are designed to give you an authentic, personal experience – with local guides, cosy stops, and plenty of festive cheer.
For practical advice on how to get ready for the cold and dark, take a look at Things to Bring to Iceland: a Packing Guide. It’s the perfect checklist to make sure you pack smart and travel comfortably.
