The village marks one end of the Blue Anchor to Lilstock Coast Site of Special Scientific Interest along which the Triassic cliffs have geological interest for the variety of fossils. The coloured alabaster found in the cliffs gave rise to the name of the colour "Watchet Blue". The village lies on the route of the West Somerset Coast Path and Celtic Way Exmoor Option. Blue Anchor railway station is a station on the West Somerset Railway, a heritage railway in Somerset.