
The 'no' camp secured 52.8% of the vote, ending the government's push for membership.
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Iceland previously applied for EU membership in 2009 following a financial crisis, but talks were suspended by a Eurosceptic government in 2013.
Iceland has rejected the government’s proposal to hold accession talks with the EU, the public broadcaster RUV has reported.
The no camp had 52.8% of votes and the yes camp 47.2%, online ballot counting on RUV showed on Sunday.
“The nation rejects accession negotiations with the EU,” RUV wrote.
The result deals a blow to Brussels, which had been keen to welcome a wealthy new member and appeared willing to compromise with Iceland on thorny issues to facilitate its accession.
The government in Reykjavík had framed its membership plan as a “now or never” moment, and the prime minister, Kristrún Frostadóttir, told voters in August that a no would put all EU speculation aside.
On Sunday, she told RUV she hoped the vote would not leave the nation divided.
Kristrún, who spoke at public meetings around the country in the final weeks in support of yes, said: “I don’t experience this as hurt. I know some people have been in a state of shock, but now I’ve sat with a large group of people across the country and people are completely open to different outcomes.”
She acknowledged that many people in Iceland – particularly from rural areas – had concerns about the impact on agriculture, fisheries and natural resources of joining the EU.
“I promise that we will handle these issues well and keep these concerns in mind,” she said.
Yes campaigners said joining the bloc could ease high interest rates and offer more security in a world unsettled by war in Ukraine and the US president, Donald Trump’s rhetoric about annexing another Arctic island, Greenland.
But campaigners for no said EU membership would threaten the country’s sovereignty and fishing waters. Their victory was hailed on Sunday by the far-right French leader Marine Le Pen.
“At a time when some are pushing for greater federalism and the transfer of sovereignty to the European Commission, this vote reminds us that another Europe is possible, a Europe of free, sovereign nations cooperating voluntarily on matters of common interest,” Le Pen wrote on X.
Nigel Farage, the leader of Reform UK, wrote on the same platform: “Congratulations to Iceland on voting to keep their independence.”
Iceland first applied to join the EU in 2009 when a financial crisis hit the country’s small, exposed economy. A Eurosceptic government ended talks in 2013.
Geopolitical turmoil including war in the Middle East and US import tariffs has brought urgency to an issue Icelanders have debated on and off for decades.

Icelandic voters have rejected a proposal to resume EU accession negotiations, with 52.5 percent voting 'no'. The nonbinding referendum, pushed by Prime Minister Kristrun Frostadottir, focused on economic stability and sovereignty concerns regarding fishing rights.

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