Reykjavik Hotels

The bright, cool Icelandic capital is the hottest ticket for trendy European breaks. Whales, snowmobiles and the great outdoors are on the doorstep, while Reykjavík's centre – the 101 – lives up to its modish name with designer shops and bars, plus clubs open all night.

The quaint, colourful old houses in the centre of town are a sharp contrast to modern monoliths overlooking Reykjavík – the Gotham City-like Hallgrimskirkja church tower and futuristic Pearl. The Art Museum and City Museum follow Iceland's roots from the Vikings to the present day, while clouds of steam curl in the air from a collection of thermal spas dotted around the capital.

Reykjavík isn't a cheap place, but surprisingly some designer brands are more affordable than elsewhere in Europe. Head for the main shopping streets of Laugavegur and Bankastraeti for fashion and souvenirs. Quirky arts and crafts galleries line Skolavordustigur, and the area around Austurstraeti and Hafnarstraeti has shops selling Icelandic woollens. Kolaportid, the weekend harbour flea market, has vintage finds and bric-a-brac.

This is spa city and when locals want to chill out, they head to outdoor thermal pools – whatever the temperature. Laugardalslaug is set in a park with a number of pools but, for a taste of the exotic, visit Nautholsvik thermal beach. The chilly Atlantic waters are warmed geothermally at this man-made beach. If you can't wait to get to your hotel to unpack and take a dip, stop at the Blue Lagoon, 20 minutes' drive from the airport. Get back to nature at Grasagardur Botanical Garden – it's small but packed with unique species of Icelandic plants.

Reykjavík nightlife and the new music scene are thriving. Hear live bands at a number of venues around the bohemian 101 city centre district, or classics from the Icelandic Symphony Orchestra and Icelandic Opera at nearby Ingolfsstraeti.

Icelandic ingredients like fresh fish and seafood, organic lamb and wild game feature heavily on restaurant menus in the central 101 district. There you'll also find pizza, pasta and Mexican food. According to locals, the best Icelandic hot dogs can be found at a stand on Tryggvagata, near the harbour. They taste even better as a snack on the road home after a night of clubbing. Alcohol is expensive, and many choose to drink beer, available in bars, restaurants and state-run shops.

Enter the depths of the Pearl, in the city's old hot-water storage tanks, then climb to the revolving restaurant in the dome for haute cuisine and 365-degree views of Reykjavík.