If you've seen my previous post on Reykjavik (see here) you'll know we stayed in a self-catered apartment through airbnb (apartment's listed here if you're a nosey parker) and we got hold of a lot of local produce that we cooked ourselves and ate in with a couple of Icelandic beers. However, we also went and ate out at least once a day, be it for breakfast, lunch or dinner. So I thought I'd compile a list of the places I'd recommend you visit if you want to eat out in Iceland. I've broken this down into food to go, casual dining and eating out like the fancy pants that you are, for ease of use. A quick note on food in Iceland; it's not as expensive as everyone says it is. Alcohol is a different matter (think London prices if not a little more for everything bar wine which is more like three times the price) but food itself is really reasonable. We ate at two really fancy restaurants for dinner, opting for their taster menus, and I think each meal cost us £65 per person which for me is beyond reasonable for 7+ courses considering you're looking at a minimum of £100 in the UK.
We didn't have a bad meal in Iceland, maybe part of this is because I research everything food related in the nearest 100 miles of where we're staying before we go away but I think a huge part is related to the quality of the food in Reykjavik.
If you're going self-catered and would prefer to cook in your apartment there's lots of great bakeries and a couple of butchers that you can go and grab some local produce from, which are all reasonably priced. Fruits and vegetables wise, if it has to be imported, it's going to be more expensive. However, Iceland grow a huge array of their own vegetables and fruits now, which is pretty cool when you think it snows for a lot of the year. We got all our fruit and veg from Bónus, which is Iceland's budget supermarket and the only one within walking distance of the apartment we were staying at. Things to try in Iceland are definitely their skyr (the thickest creamiest yogurt ever), their jams (this sounds like a weird one, but Iceland have a lot of unique berries so have a browse) and their lamb (if you're a meatasaurus like me, it's very reasonably priced and absolutely delicious)!
It's worth noting, you can't buy alcohol from general stores so either bring it with you, stock up in duty free, prepare to spend big bucks on it going out, or have a detox cleanse and go booze free. We bought about 4 bottles of wine with us and picked up a couple in duty free in Iceland, for the 8 days we were there. We didn't drink them all but it was nice to have the option of having a drink at our apartment first before going out.