Cruise ships are steering clear of Iceland and cancelling visits to ports in the country after a 2025 fee has been put in place.

According to a letter from the MSC Cruises Port Operations Director, the new fee is five times higher than the Accommodation Tax which was implemented just before the 2024 sailing season.
The fee, set at ISK 2,500 per passenger per day for ships on international cruises, equates to about $18 for every passenger on the ship.
The Icelandic government estimated that the new fee which went into effect on January 1, 2025, would generate about $10 million (1.5 billion ISK).
But as cruise ships begin to cancel stops at the island of fire and ice, these numbers may have to be revised.
According to RÚV, the national broadcaster of Iceland, “Dozens of cruise ships have cancelled planned visits to Icelandic ports”.
In fact, ports in Iceland are expecting 80 fewer cruise ships as cancellations begin to pile up.
In Akureyri, the number of ship visits is set to decrease by 44 compared to the previous year. Grundarfjörður has already experienced seven cancellations for the current year, with an additional 14 expected for 2026.
Meanwhile, Vestmannaeyjar anticipates at least ten fewer ship visits this year than last.
Sigurður Jökull Ólafsson, chairman of Cruise Iceland, emphasized the weight of the economic impact of these changes.
“Take, for instance, a ship that makes 8 to 9 stops each at Reykjavik, Ísafjörður, and Akureyri during the summer; it will now face an additional operational cost of 440 million ISK in 2025,” Sigurður stated.
While the Icelandic harbormaster doesn’t reveal what exact cruise ships and cruise lines have cancelled future sailings, the above quote by the chairman does give insight into which cruise line could be making considerations.
Those kinds of port fees with 9 or so stops suggests a larger vessel.
Also, the letter from MSC Cruises suggests the cruise line is at least concerned about the higher fees being levied.
Still, without a specific cruise ship being mentioned or cruise line making an announcement of a change in plans, the Icelandic website it the main source for this information.
Last year, Cruise Iceland warned that the new fee would particularly impact ships that were circumnavigating the country.
“We would have, first of all, wanted to see this implemented in stages so it wouldn’t hit operations as hard as it does now,” the site stated.