Elliðaey in Breiðafjörður is a rather large, horseshoe-shaped island northwest of Stykkishólmur, which is also rich in birdlife, including puffins. There is a lighthouse on the island which was built in 1951, as stated on nat.is.

Elliðaey used to be inhabited and was a location for verbúð, fishermen’s huts. In 1702, 17 people lived on the island on three farms. In 1845, the island had 15 inhabitants but in 1920 their number had dropped to five. As of 1960, none were left.