Diesel & Petrol Prices in Iceland

A vehicle towing a caravan overturned on Hellisheiði pass in Iceland, causing a temporary westbound closure. Traffic has since reopened but remains slow. Police confirmed no injuries. Strong winds may have contributed to the incident.

Matti Salo and Marja-Leena Virranranta-Salo completed a nearly month-long motorhome trip, covering 4960 km and 66 hours of open sea.

The Reykjavik City Council at its meeting on Thursday decided to terminate the agreement with the Caravan Association for the use of approximately 3,900 square meters of land in Gufunes. The agreement had been signed only two months earlier. Council Chairman Einar Thorsteinsson stated that those who choose to live in caravans can make agreements with campsites, which are abundant in the southwestern part of the country. He argued that the agreement was pushed through without consultation with residents and stakeholders in Gufunes and without budget allocations, although city costs could reach up to 100 million ISK. Association treasurer Geirdís Hanna Kristjánsdóttir expressed disappointment and anger, noting that the decision was made without any discussion with caravan residents and that they are now forced to remain at the unsuitable site in Sævarhöfði, where they have lived for three years under unacceptable conditions.

Campstar data shows average daily rental costs fell in seven of the top ten campervan destinations in 2026. The steepest drops were in the USA (-15.8%), Norway (-12%), and the UK (-11.8%). Iceland saw a 45.4% price surge to £280 per day, becoming the most expensive destination.

On May 15, 2024, the Reykjavik District Court sentenced a local man to two months in prison for unlawfully entering a caravan. The incident occurred just over a year ago. The man pleaded guilty to trespassing. The court considered his prior convictions, including assault and resisting arrest, and that he was on probation at the time of the offense. The sentence is not suspended.

Weather in Iceland can shift four times in a day, and forgotten items typically cost three times more locally than at home. The article lists essential items: waterproof shell jacket and trousers, hiking boots, wool socks, a sleeping bag liner, a thermos, a Type F adapter, and offline maps. Groceries should be bought in Reykjavík, as prices outside the capital climb noticeably.