Why Reykjavik, Iceland Is a Great Place to Spend New Year’s Eve

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Thinking of spending New Year’s Eve in Iceland? Here’s what it’s really like, from community bonfires and incredible fireworks to the Blue Lagoon and practical tips for planning your trip.

We spent New Year’s Eve in Reykjavik, and it’s unlike any celebration we’ve experienced anywhere else.

From relaxing in the Blue Lagoon during the day to watching the entire city erupt into fireworks, it was one of the most memorable New Year’s Eves we’ve ever had.

If you’re deciding where to welcome the new year, here’s why Iceland’s capital deserves a place on your shortlist.

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Experience an Icelandic Bonfire

One of the most authentic New Year’s traditions in Iceland is to gather around a bonfire. Reykjavik’s traditional New Year’s bonfires are known as Brenna.

Every New Year’s Eve, large bonfires are lit around the city. Families and friends gather to chat, keep warm and celebrate together before heading home to watch the TV show ‘Aramotaskaup’.

Joining in with this is like being part of a local tradition. Standing around the fire in the freezing cold with everyone chatting and children playing in a lovely atmosphere.

If you’re visiting Reykjavik for New Year’s Eve, I’d definitely recommend including a bonfire in your plans before the fireworks begin.

The bonfires start at 2030 and finish around 2200 as the Icelanders go home to watch a popular comedy show on TV, before the fireworks.

Where to Find Bonfires

Reykjavik’s official bonfires are lit at set locations and times each year, published by Reykjavik City in the run-up to New Year’s Eve. It’s worth checking reykjavik.is closer to your trip in case anything changes.

Most bonfires start at 2030, with a few exceptions like Skerjafjörður, which starts at 2100. If you’re staying centrally, Ægisíða along the seafront is one of the easiest to reach and gets a proper crowd. Laugardalur is another convenient option close to accommodation. For the biggest blazes, head to Geirsnef or Gufunes, both known for drawing larger numbers than the smaller neighbourhood fires.

There’s no need to book anything or arrive with a plan beyond picking a spot near where you’re staying. Just wrap up warm, get there a little before the start time, and let the evening unfold from there.

Night scene of a residential street with parked vehicles, fireworks lighting up the sky, and some construction cranes in the background

The Fireworks

We’d read in The Little Tourist Book of Iceland that Icelanders love shooting fireworks, but nothing prepared us for the reality.

For most of the year, private fireworks are heavily restricted. Around New Year’s Eve, however, they’re sold to raise money for Iceland’s volunteer search and rescue teams, and the whole country gets involved. Icelanders are known to spend an entire month’s wages on their New Year’s display.

Fireworks build steadily from around 2230. From where we were standing outside our hotel, we could hear so many going off it sounded like a city under siege. We expected them to peak at midnight but we couldn’t actually tell when it was midnight because they were literally exploding non-stop and there didn’t seem to be a typical midnight crescendo.

This isn’t one organised display in a park. Instead, thousands of people let off their own fireworks from gardens, streets and open spaces, creating a breathtaking 360-degree display that seems to stretch across the whole city all night.

The noise is incredible, the sky is constantly lit up and the celebrations continue well into the early hours.

We’ve celebrated New Year in several places over the years, but we’ve never experienced anything quite like Reykjavik.

Start the Celebrations at the Blue Lagoon

Earlier that day, we treated ourselves to a visit to the Blue Lagoon, and I honestly can’t think of a better way to begin New Year’s Eve.

Sitting in warm geothermal water with snow falling around us, drink in hand, was unbelievably relaxing.

Afterwards we enjoyed dinner at Lava Restaurant, making the whole day feel like a real celebration before heading back into Reykjavik for the evening festivities.

If you’re visiting Iceland over New Year, I’d highly recommend booking the Blue Lagoon for either New Year’s Eve or New Year’s Day.

Read my full guide to visiting the Blue Lagoon here.

Organised Events Around the City

We didn’t participate in any ticketed events but there are gala nights and fireworks tours that you can buy tickets for.

The Perlan Museum hosts a Gala Dinner with panoramic views over Reykjavik at midnight.

A fireworks cruise from the harbour will give you a great view of the fireworks from the sea.

Or you can book a walking tour with a local guide. Hear stories of Icelandic folklore, enjoy a traditional drink, and witness the city’s legendary fireworks at midnight.

Practical Tips for Spending New Year’s Eve in Reykjavik

A little planning goes a long way if you’re visiting over the festive period.

  • Book accommodation as early as possible. New Year is one of the busiest times of year in Reykjavik, and hotels sell out months in advance. 👉 Best Hotels in Reykjavik For an Affordable Break
  • Reserve restaurants ahead of time. If you’re planning somewhere special, don’t leave it until the last minute.
  • Buy tickets for the Blue Lagoon as soon as you can.
  • Get to Hallgrimskirkja Church for the best atmosphere. Arrive for around 2315.
  • Wrap up warmly. Even if you’re used to cold weather, you’ll spend quite a bit of time standing outside.
  • Wear sturdy footwear. Snow and ice can make pavements slippery.
  • Expect plenty of noise. Fireworks continue for hours, so it probably isn’t the best destination if you’re travelling with anyone sensitive to loud bangs.
  • If you want great views of the fireworks, don’t worry too much about finding one perfect spot. Because fireworks are being set off all over the city, you’ll see them almost everywhere you look.
  • Take into consideration that opening times are different during this festive period. We found shopping for food quite tricky!

Make a Few Days of It

We didn’t just visit for New Year’s Eve. Over four days we explored Reykjavik, relaxed in the Blue Lagoon and spent a day discovering waterfalls, geysers and dramatic winter scenery on the Golden Circle.

Combining all three made for an unforgettable winter break and meant the celebrations were just one part of an incredible trip.

Is Reykjavik Worth It for New Year’s Eve?

Without a doubt. Watching the locals gather around the bonfire, soaking in the Blue Lagoon earlier in the day and then standing beneath hours of spectacular fireworks made this one of the most memorable New Year’s celebrations we’ve ever experienced.

If you’re looking for something a little different from the usual city break, Reykjavik delivers an experience you’ll be talking about long after midnight.

Our New Year’s Eve in Reykjavik was part of a 4-day Iceland winter itinerary, which also included the Blue Lagoon, the Golden Circle and plenty of time exploring Iceland’s colourful capital.

👉 Best Hotels in Reykjavik For an Affordable Break

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