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A full‐wave indoor propagation model based on the two‐dimensional (2D) volume electric field integral equation (VEFIE) is presented. The model is discretised with the method of moments (MoM). The linear system arising from the MoM discretisation is solved with an iterative solver accelerated by using the fast Fourier transform and a reduced operator. The 2D VEFIE is validated against the analytical Mie series solution for scattering from a dielectric cylinder before being applied to a typical indoor propagation environment and compared against measurements. It is also compared against current popular empirical models and ray tracing. The ability of the frequency domain VEFIE method to produce time domain information is demonstrated with an investigation of numerical considerations that must be made.