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Cheap Holidays to Iceland in January

Cheap Holidays to Iceland in January — Iceland

Cheap Holidays to Iceland in January

Cheap Holidays to Iceland in January from the UK

UTC +00:00Icelandic króna (ISK)Icelandic

Cheap holidays to Iceland in January are packages that bundle flights, accommodation and transfers into one price, and in January that price is usually lower than in the summer peak. When you book through Travelodeal, your money goes to a single supplier chain that holds your flights, hotel and transfers together, so you pay one total up front.

January in Iceland is cold, dark and often windy, with snow on the roads and only a few hours of daylight each day. It is a season built around the Northern Lights, geothermal pools and short trips into the countryside rather than long days of walking. Most visitors base themselves in the capital and travel out on guided day tours, which keeps costs predictable and avoids long drives on icy routes that can change quickly without warning. Go early.

Booking a January trip with us means we check the details that change the cost of the holiday: flight times, where the hotel sits relative to your planned days out, and whether airport transfers are included. We look at the realistic cost of getting around in winter, since a rental car, a tour or a coach each carries a different price and comfort level on icy roads, and we flag any seasonal closures well before you commit to your full itinerary.

Handpicked by our UK travel experts

Exclusive Cheap Holidays to Iceland in January Hotels

Cabin

City HotelRoom Only

3.5Good3303 reviews

Cabin

Reykjavik, Reykjavik2.0km from the city centre

Flights included
8 Jan 2027 – 7 Nights
Room Only

Save £36

~~From £377~~£359_pp

CenterHotel Plaza

City HotelRoom Only

4.0Very Good4644 reviews

CenterHotel Plaza

Reykjavik, Reykjavik0m from the city centre

Flights included
9 Jan 2027 – 7 Nights
Room Only

Save £23

~~From £371~~£359_pp

Laxnes

Country HouseRoom Only

4.5Excellent1981 reviews

Laxnes

Mosfellsbaer, Reykjavik

Flights included
23 Jan 2027 – 7 Nights
Room Only

Save £32

~~From £395~~£379_pp

Bus Hostel

HostelRoom Only

4.1Very Good464 reviews

Bus Hostel

Reykjavik, Reykjavik

Flights included
23 Jan 2027 – 7 Nights
Room Only

Save £51

~~From £425~~£399_pp

Fosshotel Baron

City HotelRoom Only

4.0Very Good3058 reviews

Fosshotel Baron

Reykjavik, Reykjavik

Flights included
18 Jan 2027 – 7 Nights
Room Only

Save £45

~~From £432~~£409_pp

Thingholt Hotel Apartments from Center Hotels

Room Only

Thingholt Hotel Apartments from Center Hotels

Reykjavik, Reykjavik

Flights included
16 Jan 2027 – 7 Nights
Room Only

Save £45

~~From £432~~£409_pp

CenterHotel Klopp

Room Only

4.0Very Good1982 reviews

CenterHotel Klopp

Reykjavik, Reykjavik0m from the city centre

Flights included
9 Jan 2027 – 7 Nights
Room Only

Save £47

~~From £453~~£429_pp

Hlemmur Square

Room Only

Hlemmur Square

Reykjavik, Reykjavik

Flights included
9 Jan 2027 – 7 Nights
Room Only

Save £50

~~From £454~~£429_pp

ATOL & ABTA protected packages

Why Book Cheap Holidays to Iceland in January

Dramatic scenery

The island combines geysers, waterfalls, lava fields and glaciers within a short drive of the capital.

Easy capital base

Reykjavik is compact and walkable, with museums, harbour restaurants and easy access to day routes.

Natural hot springs

Geothermal pools are heated by volcanic activity and many stay open all year round.

Seasonal light shows

Winter darkness creates a chance to see the aurora borealis from late summer through to early spring.

Varied coastal loop

The Ring Road circles the island, linking coastal villages, glacier lagoons and quiet fjord towns.

Clear self-guided options

Visitors can explore independently by car, or join guided tours where access or weather calls for expert help.

Plan before you book

Your Guide to Cheap Holidays to Iceland in January

Dassia, Iceland

Akureyri, Iceland

In January the best value usually comes from bases close to the capital, where daily travel is short and hotel rates stay steadier than in remote areas.

Reykjavik: Looking for cheap resorts in January? Consider Dassia, a relaxed seaside village on Corfu's east coast, where mild winter days, quiet sandy beaches and affordable off-season rates make it a sensible choice for budget-conscious travellers seeking winter sunshine. It is exactly the brief our Reykjavik holidays deals are built around.
Akureyri: Akureyri sits on Eyjafjordur, a long fjord in the north, and offers a quieter base with cafes, a botanical garden and a relaxed pace. Its hotels are often better value than those in the capital, which is exactly the kind of practical saving that the same brief our Cheap Iceland Holidays deals are built around. The trade-off is a long drive or flight to reach the southern sights in winter. We recommend it for travellers who prefer calm evenings and are happy to stay north for the trip.
Husavik: Husavik is a small harbour town on the north coast, known as a whale watching hub with tours that leave from its harbour. Accommodation is limited and simpler than in the capital, which keeps prices modest but means fewer choices for last-minute bookings. We suggest it for a short northern stay built around one or two boat trips rather than a full itinerary, the same kind of focused brief our Iceland All Inclusive Holidays deals are built around.
Stykkisholmur: Stykkisholmur is a peaceful town on the Snaefellsnes Peninsula with a harbour and ferry links, and it suits visitors who want a slower pace. Winter drives to reach it take a while over exposed roads, so the saving on accommodation has to be weighed against the travel time. We find it works well for travellers willing to trade distance for quiet.
Hofn: Hofn is a fishing town in southeast Iceland and a base for visiting the glacier lagoon and the Vestrahorn headland. Its accommodation is limited in winter and the drive from the capital is long, so it is rarely the cheapest route in January. We recommend it only for travellers who have a clear plan to explore the southeast and can accept a longer journey, the same brief our Iceland Luxury Holidays deals are built around.

Iceland is itself an island, so the island choices in winter are really about the offshore and coastal islands that can be reached by ferry or short flight.

Westman Islands: Islands in January: Benitses, on Corfu's east coast, offers a quiet winter escape where mild Ionian sunshine, fishing boats bobbing in the harbour and tavernas serving slow-cooked local dishes make for a relaxed break far from the summer crowds.
Flatey: Flatey is a small island in Breidafjordur bay, reached by boat from the mainland, and it is one of the quietest places you can visit in Iceland. There is very little accommodation and no regular winter service, so it is a poor fit for budget planning in January. We suggest it only for travellers who can arrange a boat in advance and want an unusually remote stay, the same kind of considered brief our Iceland Last Minute Holidays deals are built around.
Vestmannaeyjar harbour: Heimaey is the largest island in its archipelago and has a working harbour, a small town and easy access to coastal walks. Its winter prices are lower than the capital for simple guest rooms, though the island is cut off in rough weather. We recommend it for visitors who value a compact, self-contained island base over a wide choice of hotels.
Viðey: Videy is a small island just off the capital, reached by a short ferry, and it makes an easy half-day trip from the city. It has little accommodation, so it is a day excursion rather than a base and its cost is mainly the ferry fare. We see it as a low-cost addition to a city stay for travellers with a spare morning or afternoon.
Snaefell island route: The Snaefellsjokull glacier-capped volcano dominates the peninsula and is visible from many coastal viewpoints, making it a striking winter landmark that suits the same brief our Iceland Family Holidays deals are built around. Reaching the high ground in January is weather dependent and can be costly if a guided tour is needed. We suggest viewing it from the lower coast rather than planning a summit attempt on a short cheap break.

Find your kind of holiday

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cheap holidays to Iceland in February

cheap holidays to Iceland in February

last minute holidays to Iceland in January

last minute holidays to Iceland in January

all inclusive holidays to Iceland in January

all inclusive holidays to Iceland in January

cheap holidays to Iceland in October

cheap holidays to Iceland in October

cheap holidays to Iceland in May

cheap holidays to Iceland in May

Cheap Holidays to Iceland in January FAQs

Your Cheap Holidays to Iceland in January Questions Answered

January is often one of the quieter periods for visiting, which can help keep flight and hotel prices steadier than the summer peak. Iceland remains expensive by UK standards, so the saving comes mainly from packages and careful planning. Comparing total trip cost, including transfers and tours, gives the clearest picture of value.

Is January a cheap time to visit Iceland?

January is often one of the quieter periods for visiting, which can help keep flight and hotel prices steadier than the summer peak. Iceland remains expensive by UK standards, so the saving comes mainly from packages and careful planning. Comparing total trip cost, including transfers and tours, gives the clearest picture of value.

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