Southern Iceland Holidays from £226

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Your Southern Iceland Holiday

With the details organised before you go, our Southern Iceland holiday packages let you focus on enjoying yourself. One of the best places to do that is Reykjavik, which is famous for its nightlife, culture and festivals. Kick off your trip to Southern Iceland with a few nights in Reykjavik visiting popular attractions like Reykjavik Harbour and Laugavegur. Reykjanesbær is another top city that draws travellers from far and wide. Blue Lagoon and Viking World Museum are two of the top places to see in this destination. When it's time to stop dreaming and start packing, Expedia will help turn your Southern Iceland holiday into reality.

Top Southern Iceland Flight + Hotel Deals

Price found within the past 48 hours. Click for updated prices.
Center Hotels Laugavegur

Center Hotels Laugavegur

4 out of 5
Downtown Reykjavik
Price was £348, price is now £226 per person
£226
per person
15 Jan - 17 Jan
found 23 hours ago
Return flight included
London (LGW) to Reykjavik (KEF)
9.2/10 Wonderful! (1,352 reviews)
Great spot with lots of amenities and excellent location.

Reviewed on 5 Nov 2026

Tower Suites Reykjavik

Tower Suites Reykjavik

4.5 out of 5
Laugardalur
Price was £1,010, price is now £648 per person
£648
per person
1 Feb - 5 Feb
found 23 hours ago
Return flight included
London (LGW) to Reykjavik (KEF)
9.6/10 Exceptional! (336 reviews)
Tower suites is an amazing place to base yourself in Reykjavik. We had a gorgeous suite with panoramic sea views and some views of the city, which were stunning. The staff couldn’t have been nicer or more helpful. Requests were answered promptly and efficiently. Parking was never a problem, there is a small charge 8am-4pm mon- Fri. But free on the weekends. Which suited us as we were out exploring most days. The room was well equipped and comfortable. It had nice bedding, a mini fridge, kettles and nespresso machine. 2 tv’s, in room safe, walk in wardrobe, living area and breakfast bar. Lovely rainfall and handheld shower. Also lovely deep bath in the bathroom overlooking the city. Bathrobes and slippers were included. Also nice shower amenities such as shampoo, conditioner etc. Breakfast was also very good, great quality, always delivered promptly and was always plentiful. The timings were also flexible which worked so well for us. All in all, we had a fabulous stay that was made all the better by the lovely staff members Raul and Aira and their wonderful customer service. We can’t wait to come back and are already planning our return trip.

Reviewed on 1 Nov 2026

Vesturgata

Vesturgata

3.5 out of 5
Vesturbær
Save 100% on your flight
Price was £792, price is now £518 per person
£518
per person
14 Dec - 20 Dec
found 1 day ago
Return flight included
Manchester (MAN) to Reykjavik (KEF)
9.4/10 Exceptional! (82 reviews)

Reykjavik Residence Apartment Hotel

Reykjavik Residence Apartment Hotel

4 out of 5
Downtown Reykjavik
Price was £2,007, price is now £1,363 per person
£1,363
per person
30 Dec - 3 Jan
found 22 hours ago
Return direct flight included
Birmingham (BHX) to Reykjavik (KEF)
9.6/10 Exceptional! (3,486 reviews)
Great location! The front desk is very helpful. Everyone who works here is really polite and friendly! Very happy with our stay and will come back again to stay here again!

Reviewed on 7 Nov 2026

Where to stay in Southern Iceland

Find the best Southern Iceland areas and neighborhoods for the activities you enjoy most. Learn more about Southern Iceland
A cityscape with a prominent church, a body of water, and snow-capped mountains in the background.

Downtown Reykjavik

3 out of top 10 points of interest in this area

If you're spending some time in Downtown Reykjavik, Hallgrimskirkja and Reykjavik Pond are top sights worth seeing.

Find hotels in Downtown Reykjavik

Southern Iceland Essential Information

Language
Icelandic
Currency
Icelandic krónurs
Closest Airport
Keflavik Intl. Airport (KEF)

Top hotels in Southern Iceland

Hotel Vík í Mýrdal

Hotel Vík í Mýrdal

3.5 out of 5
Klettsvegur 1-3 Vik I Myrdal
The price is £154 per night from 12 Nov to 13 Nov
£154
12 Nov - 13 Nov
includes taxes & fees
Hotel Vík í Mýrdal
CityHub Reykjavik

CityHub Reykjavik

2 out of 5
46 Hverfisgata Reykjavik Reykjavíkurborg
Fully refundableReserve now, pay when you stay
The price is £67 per night from 18 Nov to 19 Nov
£67
18 Nov - 19 Nov
includes taxes & fees
CityHub Reykjavik
Alda Hotel Reykjavik

Alda Hotel Reykjavik

4 out of 5
Laugavegur 66-68 Reykjavik
Fully refundableReserve now, pay when you stay
The price is £141 per night from 23 Nov to 24 Nov
£141
23 Nov - 24 Nov
includes taxes & fees
Alda Hotel Reykjavik
See all 1,956 properties in Southern Iceland
Lowest nightly price found within the past 24 hours based on a 1 night stay for 2 adults. Prices and availability subject to change. Additional terms may apply.
All Inclusive Holidays
All Inclusive Holidays
Beach Holidays
Beach Holidays
Family Friendly Holidays
Family Friendly Holidays

Stay near popular Southern Iceland attractions

A waterfront promenade with a modern sculpture and a sunset.

Reykjavik Harbour

9.2/10 (8,713 reviews)
Reykjavík's historic harbour pulses with maritime culture amid colourful repurposed fishing buildings. Embark on whale watching or Northern Lights cruises while enjoying panoramic views of Faxaflói Bay and Mount Esja.
See properties

Frequently asked questions

How much does a Southern Iceland travel package cost?
From just £226. Yes, you read that correctly. Our Southern Iceland packages are a great way to stretch your budget further. Combine your hotels, flights and rental car and get out and explore this lively destination.
If I'm not able to travel, can I cancel my Southern Iceland travel package?
We totally get that life sometimes gets in the way of your plans. If you've booked a Southern Iceland travel package and have to cancel or amend it, we're here to help. We suggest having a look at our Customer Service Portal first for information. But in general, if you've booked your package within 24 hours, you may be able to cancel or change your itinerary at no cost. If it's been more than 24 hours, your airline, hotel or car rental company may impose a fee.
How do I get a cheap travel package to Southern Iceland?
Browse and lock in everything all in one place with our Southern Iceland travel packages. You'll find bargains on hotels, flights and more that'll keep your hip pocket happy and your adventurous spirit busy. And, with more than 550 airlines and 1,000,000 hotels all over the world to select from, you'll have endless opportunities to mix and match as you please.
Does Expedia offer Book Now, Pay Later Southern Iceland holidays?
Your bank balance shouldn't prevent you from going on holiday, so Expedia has devised a solution to help. Thanks to our partnership with online lender Klarna, it's easier than ever to book an incredible getaway without using up all your savings. Klarna offers flexible payment options during the checkout process that take the stress out of budgeting for your trip. Check out these flexible payment options:

  • Pay monthly holidays: Klarna offers convenient monthly payment plans that work for all budget sizes, so you can take that well-earned holiday sooner.
  • Pay in instalments holidays: If you'd prefer to pay for your escape across multiple transactions, holidays paid in instalments might be right for your Book Now, Pay Later holiday through Klarna.
  • Low deposit holidays: Hitting the "book now" button is much easier with this payment plan. Just put down a small deposit on your booking and then get on your way.

How far in advance should I book my Southern Iceland holiday?
Reserving your tickets early with Expedia means one less thing to worry about. Many air carriers display prices up to 12 months prior to departure dates. This is generally the cheapest time to book. If circumstances have left you booking late, discount tickets to Southern Iceland sometimes emerge a few weeks before departure.
What does an Expedia Southern Iceland travel package include?
From flights and hotels to rental cars, Expedia can help you create a Southern Iceland package that suits you. Heading away for a week or longer? Give some thought to a hotel, flight and rental car bundle. If your break is short, a hotel and airfare deal may be more your style. Activities can also be added after you've booked. Our travel packages make it a cinch to save and plan.
What should I know before booking a Southern Iceland travel package?
A travel package can be tailored to your budget and is an easy way to make your hard-earned dollars stretch further. What you include is up to you. Hotels, rental cars and flights — decide on a combination that suits your plans.
Can I choose my airline with a Southern Iceland Expedia travel package?
Yes — that's one of the best things about an Expedia travel package. You get to choose. We have more than 550 airline partners throughout the world, so you have lots of choice when organising your Southern Iceland getaway.

* Savings based on package bookings compared to the price of the same components booked separately. Savings not available on all packages. Flight-inclusive packages are ATOL protected.