If you’re planning a trip from the United Kingdom to Lanzarote, you 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 on Lanzarote, and avoid currency exchanges at airport counters and ATMs.
What currency is used on Lanzarote?
Spain is a member of the European Union (EU), and Lanzarote is part of Spain; its official currency is therefore the Euro (€). One of the advantages of a single currency in EU member states is the tourism boom, as travellers can move between Eurozone countries without worrying about exchange rates.
Do shops and restaurants on Lanzarote accept British pounds?
Shops and restaurants on Lanzarote do not accept British pounds. You must exchange your money before you arrive or use a debit or credit card from a provider that converts currency directly.
Paying in Euro on Lanzarote also means you avoid exchange fees, inflated rates, or miscalculated conversion amounts.
Should I pay by card or cash on Lanzarote?
Both payment methods are accepted on the island, but it’s better to mainly rely on electronic card payments, as this reduces the risk of loss. However, you should always carry some cash for smaller purchases.
Use your British debit or credit card
It’s helpful to have both cards. A debit card covers most daily expenses and helps you avoid debt, fees and credit card interest, but you need a credit card for important things like car rentals or hotel registration.
When cash remains your best option
Cash is your best option on Lanzarote for tips, purchases at local markets, bus rides, beach services, parking and some taxis. When planning your travel budget, it’s best to keep essentials on your card and set aside a small amount of cash for small expenses.
ATMs on Lanzarote: Where to withdraw money and how to avoid fees
You can withdraw money on Lanzarote from a network of ATMs distributed across the island. Use ATMs owned by banks, and choose an ATM from the same group as your card issuer if possible, to avoid additional fees.
When withdrawing money, 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 for your travel budget on Lanzarote depends on the length of your stay and the number of people accompanying you. For a 3-day stay, we recommend €50 to €100 per person, and for a 7-day stay between €100 and €200 per person.
Tipping on Lanzarote: Is it expected?
Tipping on Lanzarote is common practice, but it’s not mandatory and usually not included in the bill. It’s a supplement for the person who provided the service, as long as you’re satisfied with it, 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 an optimal option due to high rates. You’ll find counters from local tourism providers as well as a number of independent ATMs.
Book your airport transfer in advance as well as your hotel, to avoid expensive currency exchange on arrival, which could strain your travel budget.
Frequently asked questions
Is Lanzarote in Spain?
Yes, Lanzarote is one of the Canary Islands, which are part of Spain.
Can I pay contactless on Lanzarote?
Yes, the island has a modern payment system, so contactless payments are accepted at most establishments with 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 optimise your free withdrawal limits when withdrawing money.
Do I need cash for taxis and transfers?
Transfer services on Lanzarote are usually paid online before you arrive on the island, but if you decide to pay on arrival, you can do so by credit card, debit card, PayPal and other methods. With taxis, some modernised operators accept contactless payments, while others only accept cash.
Key tips for managing your money on Lanzarote
To effectively manage your money on Lanzarote, you must first avoid high currency 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 currency directly, and always choose the local currency option.
It’s also wise to use official bank ATMs, ideally from the same group as your card issuer, and carry 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.
