Reykjavik car hire

Driving is the simplest way to access Reykjavik from Keflavik, the city’s relatively far-flung international airport, and the cost of car hire in Reykjavik also represents excellent value when you consider the high price of airport transfers. Hiring a car is also a must for anyone wanting to explore the incredible waterfalls and hot springs of the Golden Circle. Sure, you could join a guided tour – but how much better is it to set your own agenda and dodge the crowds?

Language: Icelandic | Currency: Kronas (kr) | Avg. Flight time: 3 hrs

Keflavik International Airport is located 50 kilometres (31 miles) southwest of the city. Don’t confuse it with Reykjavik Airport, a much smaller aerodrome in the city centre.

Collect your Reykjavik hire car at Keflavik and a well-signposted journey into the centre awaits.

There are numerous options. Avis, Budget, Europcar and Hertz all have offices inside the main airport terminal and typically boast the largest fleets.

More contenders are on Blikavollur Street, a brisk three-minute walk away, including Sixt and domestic companies such as Blue Car Rental and Reykjavik Cars.

Use TravelSupermarket’s planning tools to compare car rental prices and find the cheapest Reykjavik car-hire deal to suit your stay.

All the main companies also boast a booth at tiny Reykjavik Airport, and most have additional premises within the harbour area, if you’d prefer a city-centre pick-up.

Despite everyone driving here – the country has the world’s highest cars-per-capita rate – parking is easy to come by and costs are reasonable.

Some 115 kilometres (70 miles) northeast of Reykjavik is the Golden Circle, a 300-kilometre (180-mile) driving tour of Iceland’s best-known natural wonders. Hogging most memory cards in visitors’ cameras are the thundering Gullfoss waterfall and a geyser called, aptly, Geysir.

The earliest bus tours tend to leave Reykjavik at 7am, so you know what to do – head off at 6am, and try to stay ahead of them (or have a lie in and follow on).

The Blue Lagoon, 48 kilometres (30 miles) southwest of the city, is quietest in the early morning and late afternoon. With a rental car, you can dodge the coach crowds and enjoy a more tranquil experience in these geothermal waters.

For more adventurous drives into the Icelandic interior, be aware that conditions can often deteriorate in winter – call the Icelandic Road and Coastal Administration on +354 522 1100 (or check www.road.is) for the latest information. Some inland passes are suitable only for vehicles with four-wheel drive and are out of bounds for renters of regular cars. These roads are usually pretty remote and well sign-posted, so you are unlikely to invalidate your insurance by accident.

Just like flight prices, winter time is cheapest for car hire in Reykjavik, while summer is when rates are highest – and availability lowest.

Happy news: reduced rates are common, with competitors desperately trying to undercut one another and secure your signature; compare deals from the major players on TravelSupermarket before you book your cheap car rental in Reykjavik.

1. Watch carefully for one-way and, in summer, temporarily pedestrianised streets; Reykjavik specialises in both of these.

2. While parking meters only accept Icelandic coins, it’s possible to pay on plastic at ticket dispensers in pay-and-display zones. Like most cities, parking in Reykjavik costs more the closer you are to the centre. Unlike most cities, Reykjavik is tiny – so even in zones P3 and P4 you’ll only be a short walk from the heart of the city.

3. You don’t necessarily need a four-wheel drive vehicle, even in winter. Iceland’s geothermal nature helps to keep main roads clear of icy conditions. A regular car and a confident driver is the minimum you’ll require.

Fair fuel policy

A fair fuel policy (also known as full-to-full or same-to-same) means you’ll only pay for the fuel you use. All car rental deals compared on TravelSupermarket come with a fair fuel policy, so you can book your hire car safe in the knowledge there will be no nasty surprises at drop-off. More information on TravelSupermarket’s commitment to fair fuel policies can be found here.

No hidden fees

All rental deals compared on TravelSupermarket include mandatory fees (for example, one-way and young driver surcharges) in your rental quote at the time of booking, meaning you’ll know the full price of your car hire upfront.