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, it’s best to combine electronic payments like debit and credit cards with cash.
Always pay in local currency in Lanzarote and avoid exchanging 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 the currency directly.
Paying in Euros in Lanzarote also means you’ll avoid exchange fees, inflated rates or incorrectly calculated conversion amounts.
Should I pay by 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 have some cash on hand 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 renting a car or checking into a hotel.
When cash is the best option
Cash is the best option in Lanzarote for tips, purchases at local markets, bus fares, beach services, car parks 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 avoid fees
You can withdraw cash in Lanzarote at a network of ATMs spread throughout the island. Use ATMs from official banks and, where 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 are usually 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 €50 to €100 per person, and for a seven-day stay, €100 to €200 per person.
Tipping in Lanzarote: is it expected?
Tipping in Lanzarote is common but not mandatory and usually not included on the bill. It’s a supplement 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 due to high fees, it’s not the best option. You’ll find counters from local tour operators as well as a number of independent ATMs.
Book your airport transfer in advance with your hotel to avoid high exchange rates on arrival that 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.
How can I avoid card validity fees abroad?
There are several ways to avoid card validity fees: use a fintech travel card, always choose the local currency option when paying and take advantage of any fee-free withdrawals when you withdraw money.
Do I need cash for taxis and transfers?
Transfer services in Lanzarote are normally paid for online before your arrival on the island, but if you choose to pay on arrival, you can do so by 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 first need to avoid high exchange fees. It’s best to rely on electronic payment methods such as debit and credit cards, Apple Pay, Google Pay or another option that converts the currency directly, and always choose the local currency option.
It’s also advisable to use ATMs from official banks, preferably from the same group as your card issuer, and to have some cash on hand 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.
