Madeira Island Travel Guide: The 5 Best Things to Do, Hotels & Restaurants

The 5 Best Things to Do, Hotels & Restaurants in Madeira Island

Madeira is not just another island escape; it’s a dramatic Atlantic paradise where emerald mountains meet volcanic cliffs, where sunrise hikes feel cinematic, and where local flavors are deeply tied to tradition. From breathtaking viewpoints above the clouds to unforgettable food experiences in Funchal, Madeira is one of Portugal’s most rewarding destinations for travelers seeking nature, authenticity, and refined comfort.

Whether you’re planning a romantic getaway, a family holiday, or a once-in-a-lifetime celebration, this Madeira travel guide highlights the best things to do in Madeira, along with the best hotels in Madeira and the island’s most remarkable restaurants.

Why Visit Madeira Island?

Known as the “Pearl of the Atlantic,” Madeira offers an unbeatable mix of landscapes and lifestyle. Think lush laurel forests (a UNESCO World Heritage site), iconic levada trails, hidden waterfalls, black-sand beaches, and world-class dining. Add to that year-round mild weather and exceptional hospitality, and you’ll understand why Madeira is quickly becoming one of Europe’s top island destinations.

If you’re wondering what to do in Madeira, the answer is simple: a lot, and always with unforgettable views.

5 Must-Do Things in Madeira Island

1. Private Yacht Charter Along Madeira’s Coastline

One of the most unforgettable ways to explore Madeira is from the ocean. Cruise along the island’s dramatic coastline aboard the Princess V58 yacht, ideal for couples, families, or special celebrations. Enjoy total privacy, stunning views, and premium onboard service.

2. Sunrise Above the Clouds at Pico do Arieiro

Start your day with one of Madeira’s most iconic moments: watching the sunrise from Pico do Arieiro at 1800 meters. With a sea of clouds below and mountains glowing in golden light, it’s a truly magical experience, made even better with a homemade breakfast prepared by a private chef.

3. Poncha Workshop: Madeira’s Signature Drink

Discover the history and tradition of Poncha, Madeira’s most famous cocktail. In this hands-on workshop, you’ll learn how it’s made, explore Madeira rum’s sugarcane roots, and taste different citrus-based variations, a must for anyone seeking authentic cultural experiences.

4. Vinhas do Tico: Wine Tasting by the Sea

Located in Porto Moniz, Vinhas do Tico offers a rare setting where vineyards meet the Atlantic. Taste local white wines produced on-site, paired with a picnic or a traditional northern Madeira lunch, a peaceful, off-the-beaten-path experience.

5. Madeira Embroidery Workshop

Dive into one of the island’s most elegant traditions with a Madeira embroidery workshop. Guided by local artisans, you’ll learn authentic techniques and create your own handmade piece, a meaningful souvenir, and a true connection to Madeiran heritage.

The Best Hotels in Madeira Island

Madeira is home to some of Portugal’s finest resorts and boutique hotels, offering stunning sea views, exceptional service, and ideal locations near Funchal’s historic center.

1. Hotel The Cliff Bay

One of the most iconic hotels in Madeira, The Cliff Bay is known for its refined atmosphere, oceanfront location, and direct access to the sea. Perfect for travelers seeking elegance and comfort in Funchal.

2. Belmond Reid’s Palace

A legendary property and one of the most famous hotels in Madeira. Belmond Reid’s Palace combines timeless glamour, historic gardens, and one of the island’s most privileged views over the Atlantic.

3. Savoy Palace Hotel

A modern and sophisticated resort in Funchal, offering a contemporary design, excellent wellness facilities, and an impressive rooftop atmosphere.

4. The Vine Hotel

Stylish and central, The Vine Hotel is ideal for travelers who want a design-focused stay with easy access to the city’s restaurants, shopping, and cultural highlights.

5. The Reserve

An exclusive retreat designed for guests seeking maximum privacy, personalized service, and a truly elevated experience in Madeira.

Best Restaurants in Madeira (Where to Eat in Funchal)

Madeira’s gastronomy has evolved into one of Portugal’s most exciting culinary scenes, with Michelin-star restaurants, farm-to-table concepts, and refined menus inspired by the Atlantic.

1. UVA Restaurant 

Chic bistro at the top of The Vine Hotel, with panoramic views of Funchal. Chef Thomas Faudry combines Madeiran tradition with contemporary creativity using seasonal, local ingredients. An extensive Madeira wine list with sommelier guidance.

2. Gazebo 

Hidden gem in a century-old Quinta. Seasonal menus by Chef Filipe Janeiro focus on local produce, offering an intimate, authentic Madeiran dining experience.

3. Il Gallo d’Oro 

At The Cliff Bay, this Michelin two-star restaurant highlights Madeira’s finest ingredients, including produce from the PortoBay garden. Recognized with a Michelin Green Star for sustainability.

4. William Restaurant 

Michelin-starred dining with ocean views in Belmond Reid's Palace. Modern Madeiran cuisine celebrates local ingredients, from coastal fish to seaweed-infused lobster.

5. Desarma Restaurant 

Located at The Views Baía, Desarma offers bold, modern cuisine blending sweet, salty, tart, and savory flavors; a must-visit for food lovers.

Tips for Planning the Perfect Madeira Trip

If you’re visiting Madeira for the first time, we recommend staying at least 4 to 6 nights to experience both Funchal and the island’s natural wonders without rushing. Madeira is ideal year-round, but spring and early autumn are particularly beautiful for outdoor experiences.

For travelers seeking a seamless journey, private experiences, and insider access, Madeira becomes even more memorable when explored with expert planning.

Plan Your Madeira Trip with Wine Tourism in Portugal

At Wine Tourism in Portugal, we create tailor-made experiences across Portugal’s most remarkable destinations, including Madeira Island. From private yacht cruises and cultural workshops to curated dining reservations and handpicked hotels, we design trips that combine authenticity, comfort, and unforgettable moments.

Ready to discover Madeira with a fully personalized itinerary?