Curious about what holidays or special occasions are celebrated in Iceland? You’ve come to the right place!
Iceland has a wide variety of unique and familiar holidays, with whimsical traditions mixed in. These public holiday celebrations welcome both locals and travelers with open arms, making a trip to Iceland during these times of year even more fun!
Read on to discover why renting a car during Icelandic holidays is important and which celebrations you should think about planning a trip around in Iceland.
Public Holidays and Special Occasions in Iceland
January – New Year’s Eve and Fireworks Displays
Well known for its vibrant nightlife, Reykjavik comes alive on New Year’s Eve with revelers spilling into bars to ring in the New Year.
Locals shoot off fireworks, lighting the long winter’s night with colorful explosions, and gather around communal bonfires known as brenna. Another Iceland New Year’s tradition that has Icelanders heading back inside is Aramotaskaup, the annual comedy show that’s broadcast on TV from 10:30 to 11:30 PM.
New Year’s Day is a bank holiday in the country with most businesses closed, although you’ll still find some restaurants open.
● Recommended Car: A compact 4WD SUV for icy roads and winter conditions.

Mid-January to Mid-February – Þorrablót (Traditional Icelandic Feast)
Take part in the traditional Icelandic midwinter feast known as Þorrablót, named after Þorri, the fourth winter month in the Icelandic calendar. This unique celebration goes back over a thousand years and was revived in the 19th century as a way to honour Viking heritage and keep spirits high during the darkest part of the year.
Originally, Þorrablót was a sacrificial festival in Norse times, but today it’s a lively social event where locals gather to enjoy traditional foods, folk songs, speeches, and plenty of laughter. It’s one of the most authentic cultural experiences you can have in Iceland.
- Related readings: Guide to travel Iceland January, Self-drive travel guide to February Iceland
The menu isn’t for the faint-hearted but is definitely memorable! You’ll find old-school Viking cuisine like fermented shark (hákarl), boiled sheep head (svið), blood pudding, pickled ram testicles, and cured meats—usually washed down with a strong shot of Brennivín, also known as “Black Death.” Some feasts are intimate affairs among friends or family, while others are full-blown public banquets complete with live music, comedy sketches, and even costume contests.
Þorrablót is usually celebrated in both rural villages and bigger towns, making it a great time to explore the countryside and connect with local communities. Since it takes place during the depths of winter, roads can be snowy and icy—so it’s best to come prepared.
● Recommended Car: A 4×4 vehicle for easy access to rural areas where Þorrablót is often held.

April – Easter Celebrations (Maundy Thursday, Good Friday, Easter Sunday)
Easter is one of the most important holidays in Iceland with festivities on Maundy Thursday, Good Friday, and Easter Sunday.
Maundy Thursday is a particularly important day in Iceland, marking the day when Jesus held the last supper and washed the feet of his twelve disciples. Because of the day’s significance, many young Icelanders are baptized on Maundy Thursday.
While many bars are open late on the Wednesday before Maundy Thursday, most are shuttered for Good Friday.
Icelandic families generally celebrate by gathering together over the long weekend to share a meal and attend church services, although just as many use it as an excuse to go on holiday. Iceland is a largely secular nation, after all!
● Recommended Car: A standard sedan for spring driving and city exploration.

April – First Day of Summer (Sumardagurinn Fyrsti)
The arrival of summer in Iceland is worthy day celebrating the arrival of summer after many months of cold and darkness. Known as Sumardagurinn Fyrsti, this day in late April marks the arrival of summer in Iceland.
If you’re scratching your head as to why Icelanders are celebrating summer when it’s still spring, the country once followed the Norse calendar which had only two seasons, winter and summer.
Celebrations take place across the country with parades, concerts, outdoor activities, marching bands, and more. This is also traditionally a time when parents give their children something they can play with during the warmer months.
● Recommended Car: A fuel-efficient hatchback for road trips to outdoor festivities.

Public Holidays in Iceland: What Travelers Should Know
Iceland observes several public holidays throughout the year, many rooted in religious traditions or national celebrations. On these days, most businesses, banks, and government offices are closed, and public transportation may operate on a limited schedule.
It’s important for travelers to be aware of these dates, as they can impact access to services, attractions, and dining options. Notably, Christmas Eve and New Year’s Eve are considered half-day holidays, with closures starting at 1 PM. Planning ahead and renting a car can provide the flexibility to explore and enjoy Iceland’s natural beauty, even when urban amenities are limited.
List of Public Holidays in Iceland:
- New Year’s Day (Nýársdagur) – January 1
- Maundy Thursday (Skírdagur) – Date varies
- Good Friday (Föstudagurinn langi) – Date varies
- Easter Sunday (Páskadagur) – Date varies
- Easter Monday (Annar í páskum) – Date varies
- First Day of Summer (Sumardagurinn fyrsti) – Third Thursday in April
- Labour Day (Verkalýðsdagurinn) – May 1
- Ascension Day (Uppstigningardagur) – Date varies
- Whit Sunday (Hvítasunnudagur) – Date varies
- Whit Monday (Annar í hvítasunnu) – Date varies
- Icelandic National Day (Þjóðhátíðardagurinn) – June 17
- Commerce Day (Frídagur verslunarmanna) – First Monday in August
- Christmas Eve (Aðfangadagur) – December 24 (from 1 PM)
- Christmas Day (Jóladagur) – December 25
- Boxing Day (Annar í jólum) – December 26
- New Year’s Eve (Gamlársdagur) – December 31 (from 1 PM)
Being aware of these dates can help you plan your trip more effectively, ensuring you make the most of your time in Iceland.

Major Summer Celebrations in Iceland
June 17 – Icelandic National Day (Þjóðhátíðardagur)
Icelanders take to the streets every June 17th to celebrate Þjóðhátiðardagur, otherwise known as Icelandic National Day. Iceland has only been an independent country since June 17th, 1944, gaining their freedom from Denmark after over 500 years. It’s a proud, joyful celebration held right at the heart of the Icelandic summer.
The date also happens to be the birthday of Jón Sigurðsson, the national hero who led Iceland’s independence movement. All across the country, towns big and small come alive with parades, street performances, live music, traditional dances, and family-friendly activities. Reykjavík hosts the biggest celebration, with stages set up downtown and a festive vibe that stretches from morning to night.
One iconic part of the day is when the “Lady of the Mountain” (Fjallkonan) appears in traditional dress to deliver a powerful speech representing the spirit of Iceland. Locals often dress in lopapeysa or other folk costumes, adding to the festive atmosphere.
Traveling Iceland in June is extra magical, as the country is in full bloom and the weather is at its most pleasant—perfect for road tripping. Thanks to the midnight sun, daylight lasts nearly 24 hours, giving you more time to explore Iceland’s waterfalls, glaciers, and volcanic landscapes without rushing. It’s also a great month for visiting the Westfjords, the Snæfellsnes Peninsula, or even circling the entire Ring Road if you’re up for a bigger adventure. Campsites, restaurants, and local services are all fully operational in June, making it one of the easiest and most beautiful months to travel around.
● Recommended Car: A family-friendly SUV for exploring Reykjavík or smaller towns.

August – Verslunarmannahelgi (Commerce Day Weekend)
Held over the first weekend in August, Verslunarmannahelgi is a unique celebration that originated in 1894. Merchants gave their shopkeepers the day off and this three day holiday weekend in summer was born.
Many Icelanders use the extended time off as an excuse to go camping, attend festivals, and seek out live music. One of the most famous festivals, Þjóðhátíð, takes place on the Westmann Islands and features concerts, camping, and bon fires.
● Recommended Car: A spacious station wagon or camper van for weekend getaways.
Autumn and Winter Holidays
December – Christmas Traditions and the Christmas Cat
Icelandic towns come alive with festive decorations, Yuletide celebrations, and colorful lights throughout the month of December.
Christmas Eve is the most important night of the month, when families join together for a traditional dinner with dishes like smoked lamb or ptarmigan and open presents around the Christmas tree. Legend has it that children who don’t receive clothing for Christmas will be eaten by the Christmas Cat, the henchman of Grýla, an evil troll!
Other unique Icelandic Christmas folklore includes the 13 Yule Lads, who happen to be Grýla’s children. Well behaved children receive presents from them, instead of the traditional Santa Claus, while naughty children are given rotten potatoes.
● Recommended Car: A 4×4 with studded tires for safe winter travel to see holiday lights and enjoy local events.

Tips for a Self-Drive Trip During Holidays (and Beyond!)
Now that you know when Iceland’s major holidays take place, it’s time to think about how to plan your trip smartly around them—especially if you’re renting a car. During public holidays, public transport services may run on limited schedules or pause altogether. That’s why having your own rental car gives you the freedom to explore at your own pace, even when the rest of the country slows down for a celebration.
And the best part? You don’t need to spend a fortune to enjoy a self-drive adventure in Iceland. Here are a few handy tips to help you travel like a pro—especially if you’re looking for cheap rental car options:
✔ Choose the right car for the season and route. Firefly Iceland offers budget-friendly rental options that fit different needs—whether it’s a compact car for cruising the Ring Road in summer or a 4×4 for snowy mountain passes in winter. If you’re visiting during a holiday like Þorrablót or Christmas, a winter-ready vehicle is a must for staying safe on icy roads.
✔ Book early to save money. Iceland gets busy during big events and summer months, and prices go up as demand increases. Reserve your car well in advance to lock in the best deals—especially for holidays like Easter, National Day, or Commerce Day Weekend.
✔ Split costs with friends or family. Road-tripping with travel buddies is not only more fun—it also helps lower fuel, rental, and accommodation costs. Plus, it’s great to have someone to share the driving duties with.
✔ Fuel up wisely. Petrol is expensive in Iceland, so using a fuel-efficient car and checking apps for the cheapest fuel stations can help you save over the course of your trip.
✔ Stock up at supermarkets. Iceland’s dining scene is fantastic, but it can be pricey. Stop at affordable grocery stores like Bónus or Krónan to grab snacks or prepare simple meals on the go—perfect for picnics with a view!
✔ Pay attention to tolls and parking. While most roads are toll-free, a few tunnels (like the one near Akureyri) require prepayment. In cities, parking is often paid, so download the local parking apps to keep things easy and avoid surprises.
✔ Always check the weather and road conditions. Iceland’s weather changes fast, especially in winter. Before setting off, visit vedur.is for the latest weather forecast and road.is for current road conditions. These two sites are your best friends for planning safe and flexible travel days.
Whether you’re coming for a quiet winter holiday or a high-energy summer festival, renting a car gives you the freedom to go where buses can’t—and make the most of every hour of daylight. Firefly Iceland is here to help you hit the road safely, confidently, and affordably—365 days a year.

Why Rent a Car from Firefly Iceland for These Holidays?
Having your own set of wheels to explore Iceland during the holidays is a wonderful resource. Not only will you have the flexibility to participate in special events, but you’ll also be able to discover nearby attractions with ease.
Firefly Iceland offers affordable and reliable rental car options that are tailored to each season. Planning on visiting during Christmas? They have the perfect 4×4 option for navigating icy roads. Are you arriving in summer for Icelandic National Day? A standard vehicle is the perfect option!
It’s also a good idea to rent a vehicle because the schedule of public transportation options are limited during holidays.
Book a rental car with Firefly Iceland to ensure you have the ultimate freedom to discover the Land of Fire and Ice on your holiday adventures!
Conclusion
While any trip to Iceland is an adventure, visiting during one of the country’s vibrant holidays is even more exciting, providing a unique window into Icelandic culture and traditions.
Experience Iceland’s unique holidays, from Commerce Day Weekend to Icelandic National Day, with the freedom of a Firefly Iceland rental car. Book today and start planning your adventure!