Iceland has shed its reputation for being an expensive holiday destination, according to Abta - The Travel Association.
A spokeswoman for the organisation said that Iceland is now seen as being more affordable than in the past as a result of its financial difficulties.
The representative said that prices of drinks and other everyday items have fallen following the country's economic collapse.
'It was seen to be a very expensive destination and it certainly has turned that around,' she added.
The Abta spokeswoman's comments follow research by Icelandic company Eye for Image, which found that the country's economic problems have helped to improve its image as a holiday destination.
One of Iceland's most popular destinations is Reykjavik, its capital city. Flights to Reykjavik are provided by Icelandair, which flies to the destination from London and Manchester and also offers onward connections to New York, Orlando, Toronto and other destinations in North America.
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