Modern Historn of Iceland
Very much a rural nation until the 20th century, independence saw the industrialisation of the fishing industry, for which the country became known.
Iceland was involved in the Cod Wars with the UK in the 1950s, which lasted intermittently until 1976. Whilst more a series of heated disputes about fishing rights than a full-scale conflict, several died before an agreement was reached.
In 1980, Iceland elected Vigdís Finnbogadóttir as president, the world’s first elected female chief of state – a position separate to that of a monarch or prime minister. Finnbogadóttir proved to be a popular ambassador, and happened to be a divorced single mother of an adopted daughter; a good example of the Icelandic people’s forward thinking.
In 1994 a coalition government of the Independence Party and Social Democrats joined the European Economic Area, bringing a degree of stability to the country’s economy. An agreement between Iceland, Norway, Lichtenstein, and the European Union, the EEA allows the Nordic countries to operate in the single market, without joining the EU.
Preceding similar laws passed in other European states by several years, Iceland’s parliament gave same-sex couples the right to civil partnerships in 1996, with adoption rights ten years later.
Economic growth followed until 2007, when the banking system collapsed. With Iceland known almost as well for its financial services as its fishing industry, the subsequent banking crisis saw protests across the country, and early elections as a result. At present, Iceland is governed by a coalition between the Social Democratic Alliance and the Left-Green Movement, with Jóhanna Sigurðardóttir elected prime minister; the world’s first openly gay head of government.
For other areas, please feel free contact us at any time for our most competitive quotation.
Iceland is around 20 million years old, forming from a group of volcanic eruptions on the Mid-Atlantic ridge. The last country in Europe to have settlers, evidence suggests that Irish monks were the first to land in the 8th century, before the Vikings arrived in the 9th, drawing up a basic form of government named the Althing. This still exists today, and is the world’s oldest parliament.
A Norwegian traveller, Flóki Vilgerðarson, gave the country its modern name when the land was still virtually uninhabited, after finding a glacial inlet that had completely frozen over. Territory was ruled by various local clans for hundreds of years, until families with powerful links to the Norwegian throne eventually proved too influential.
After decades of conflict and trade disputes, Iceland accepted Norwegian rule in 1262. This was followed by Danish rule in 1397, due to Norway and Denmark’s reunification; ties which were to last in various forms until 1944.
Under Danish Rule
The first few centuries of Danish rule saw some periods of economic growth, until Denmark imposed trade restrictions in 1602, greatly weakening Iceland’s economy. The Althing was stripped of any meaningful power some sixty years later.
By the 19th century, nationalist movements were sweeping across Europe, and national awareness grew in Iceland. After several home-rule laws were passed and revised, Iceland was made a sovereign state in 1918, breaking all links with the Danish crown following a referendum in 1944, with Sveinn Björnsson as president. Despite some minor differences, Iceland and Denmark have shared a good relationship ever since, with Nordic loyalties generally taking precedence over international interests.
