The Shekel is the main currency in Israel, although you can get away with paying in US dollars for a good discount in many places. Credit cards are accepted pretty much everywhere, and for everything, while the many ATMs throughout the country will dispense cash to British Card holders.
Israel is by no means the cheapest country to visit in the Middle East, although souvenirs are good value for money, and prices in markets are usually negotiable to a certain extent.
Most places add a service charge to the bill, but tipping is pretty much compulsory, at around 15% of the total.
