hi fazack
without a doubt i would only use lira (ytl) even thou most bars and resturants do accept euro or sterling they wont give you a good rate compared to if you changed your money at a bank or change office, and another owrd of advice i would only change money in cyprus and not the u.k, what ever anyone says you defo get a better rate in cyprus because in the u.k you get a one flat daily rate, where in cyprus the rate can change a few times in a day sometimes for the better and sometimes for the worse, if you are coming from the u.k and you say you need a bit of lira for a taxi or food then change a bit in the u.k
hope this helps
regards
ukturk