diff --git a/server/src/test/return_luas_data/test_lambda_function.py b/server/src/test/return_luas_data/test_lambda_function.py
new file mode 100644
index 0000000..f0c80e6
--- /dev/null
+++ b/server/src/test/return_luas_data/test_lambda_function.py
@@ -0,0 +1,38 @@
+import json
+import unittest
+from unittest.mock import patch, MagicMock
+from src.functions.return_luas_data.lambda_function import lambda_handler
+
+class TestLambdaFunction(unittest.TestCase):
+
+    @patch('src.functions.return_luas_data.lambda_function.requests.get')
+    @patch('src.functions.return_luas_data.lambda_function.xmltodict.parse')
+    def test_lambda_handler_returns_forecast_for_valid_luasStopCode(self, mock_parse, mock_get):
+        mock_response = MagicMock()
+        mock_response.text = '<xml>test</xml>'
+        mock_get.return_value = mock_response
+        mock_parse.return_value = {'forecast': 'data'}
+
+        event = {
+            'queryStringParameters': {'luasStopCode': 'test_stop'}
+        }
+        context = {}
+
+        response = lambda_handler(event, context)
+
+        self.assertEqual(response['statusCode'], 200)
+        self.assertEqual(json.loads(response['body']), {'forecast': 'data'})
+
+    @patch('src.functions.return_luas_data.lambda_function.requests.get')
+    def test_lambda_handler_returns_error_on_exception(self, mock_get):
+        mock_get.side_effect = Exception('Test exception')
+
+        event = {
+            'queryStringParameters': {'luasStopCode': 'test_stop'}
+        }
+        context = {}
+
+        response = lambda_handler(event, context)
+
+        self.assertEqual(response['statusCode'], 500)
+        self.assertIn('error', json.loads(response['body']))
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