With the new year, several new regulations, taxes, and fees are coming into effect. Here, we break down the most significant changes for the nation and capital region in 2023.
New Fees on Fuel, Alcohol
In line with the 2023 budget, the alcohol tariff is set to rise some 7.7.%. The price hike will also disproportionately affect alcohol sold in Duty Free, which was taxed at 10% last year, but will now be taxed at 25%.
Fuel is likewise increasing in price. In order to fund infrastructure, the general cost of car ownership is rising significantly. A litre of petrol is set to increase by ISK 16 (0.11 USD, 0.11 EUR), and import duties on electric vehicles are also increasing.
Schools and Pools
In line with the expected 4.9% cost of living increase throughout Reykjavík, the price for admission to the city’s pools will also be increasing, from ISK 1,150 (8.10 USD, 7.58 EUR) to ISK 1,1210 (8.52 USD, 7.98 EUR). Children’s prices are increasing by similar amounts, although residents can still save significantly with pool passes.
The cost of preschool registration will also be rising on average from ISK 33,570 (236 USD, 221 EUR) to ISK 35,215 (248 USD, 232 EUR).
Changes in Recycling
Changes are also coming to waste management and recycling in the capital area.
Icelanders will now need to sort their trash into four bins, and recyclables will no longer be tolerated in the black bin (for trash). Bins will now be sorted into paper, plastic, organic waste, and mixed waste.
Alongside these changes come increases in cost, with garbage removal fees in Reykjavík increasing by 20%.
Read more about coming changes in the 2023 budget here.
