If you’re planning a trip from the UK to Lanzarote, it’s important to know that the island’s currency is the euro (€). To manage your money efficiently, the best approach is to combine electronic payments like debit and credit cards with cash.
Always pay in local currency in Lanzarote and avoid exchanging money at airport counters and ATMs.
What currency is used in Lanzarote?
Spain is a member of the European Union (EU), and Lanzarote is part of Spain; therefore, the official currency is the euro (€). One advantage of a single currency across EU member states is that it promotes tourism, as travellers can move between eurozone countries without worrying about exchange rates.
Do shops and restaurants in Lanzarote accept British pounds?
Shops and restaurants in Lanzarote do not accept British pounds. You’ll need to exchange your money in advance or use a debit or credit card from a provider that converts currency directly.
Paying in euros in Lanzarote also means you avoid exchange commissions, inflated rates, or miscalculated conversion amounts.
Should I pay with card or cash in Lanzarote?
Both payment methods are accepted on the island, but it’s better to rely mainly on electronic payments like cards, as this reduces the risk of loss. However, you should always carry some cash for small purchases.
Use your British debit or credit card
Both cards are useful. A debit card covers most daily expenses and helps you avoid credit card debt, fees, and interest, but you’ll need a credit card for important things like car rentals or hotel check-ins.
When cash is the best option
Cash is the best option in Lanzarote for tips, purchases at local markets, bus trips, beach services, parking, and some taxis. When planning your travel budget, it’s best to keep most of it on your card and set aside a small amount in cash for small expenses.
ATMs in Lanzarote: Where to withdraw money and how to avoid fees
You can withdraw cash in Lanzarote through the network of ATMs distributed across the island. Use official bank ATMs and, if possible, choose one that belongs to the same group as your card issuer to avoid additional fees.
When withdrawing cash, always choose the local currency option, as fees are lower. Avoid independent ATMs, as their withdrawal fees tend to be very high.
How much cash should I bring to Lanzarote?
The amount of cash you should plan in your travel budget for Lanzarote depends on the length of your stay and the number of people travelling with you. For a three-day stay, we recommend between €50 and €100 per person, and for a seven-day stay between €100 and €200 per person.
Tipping in Lanzarote: Is it expected?
Tipping in Lanzarote is common, but not mandatory and typically not included in the bill. It’s a bonus for the person who provided the service if you’re satisfied, and it’s best to give it directly in cash.
Currency exchange at Lanzarote Airport (ACE)
Currency exchange is available at Lanzarote Airport, but it’s not the best option due to high commissions. You’ll find counters from local travel operators, as well as a number of independent ATMs.
Book your airport transfer in advance with your hotel to avoid high exchange costs on arrival, which could impact your travel budget.
Frequently asked questions
Is Lanzarote in Spain?
Yes, Lanzarote is part of the Canary Islands, which belong to Spain.
Can I use contactless payments in Lanzarote?
Yes, the island has a modern payment system, so contactless payments are accepted at most establishments via mobile phones or smartwatches, as well as debit and credit cards.
What’s the best way to avoid foreign card fees?
There are several ways to avoid card fees: use a fintech travel card, always choose the local currency option when paying, and take advantage of all fee-free withdrawals when getting cash.
Do I need cash for taxis and transfers?
Transfer services in Lanzarote are normally paid online before you arrive on the island, but if you decide to pay on arrival, you can do so with credit card, debit card, PayPal, and other methods. For taxis, some operators are fully modernised and accept contactless payments, while others only accept cash.
Key points for managing your money in Lanzarote
To manage your money efficiently in Lanzarote, you should first avoid excessive exchange fees. It’s best to rely on electronic payment methods like debit and credit cards, Apple Pay, Google Pay, or another option that converts currency directly, and always choose the local currency option.
It’s also advisable to use official bank ATMs, preferably from the same group as your card issuer, and keep some cash for small expenses.
References:
- https://www.spain.info/es/consejos-viaje/moneda-billetes
- https://www.bde.es/wbe/es/areas-actuacion/billetes-monedas
- https://www.lanzaroteguide.com/exchanging-currency-in-lanzarote/
Abdel Samouh is a tourism professional specialising in the Canary Islands, with a solid track record in visitor experience management on Lanzarote. His career has centred on promoting the island's landmark attractions and enhancing transfer and excursion services across this volcanic destination.
