In small towns like Akureryi, there's a lot of local pressure to keep signs mostly in Icelandic. I was actually surprised by this since there were a lot of English-speaking tourists in the area, but I respect it thoroughly. It's their country, I should learn how to get around.
Oh, as an aside - as someone who is single and still uses the various datings apps, I was also impressed by how idiomatically correct their english was even down to slang and figures of speech. There's clearly a large influence from American media.
If you're travelling to Iceland, take the time to learn a few basic Icelandic phrases - the locals have a lot of pride in their culture and will love you for it.