The effect of pressure on the 2H and 4H polytype of PbI₂ has been investigated by Raman and optical absorption spectroscopy, using the diamond anvil cell. The 2H-polytype undergoes pressure-induced phase transitions at 5 kbar and near 30 kbar. The 4H-polytype exhibits phase transitions near 8 kbar and above 30 kbar. The Raman modes abruptly change at these pressures. The optical absorption edge shifts red at the rate of 15±1 MeV/kbar in the 2H-PbI₂ and at the rate of 7 MeV/kbar in phase II. The latter phase is most likely to possess a 3d-structure and not a layer type. The possible structures for the high pressure phases are discussed.