History of Reykjavik

For a long period of history, Iceland was rejected as a suitable place for settlement, as its land was frozen by glaciers and threatened by the bubbling of its volcanoes, its soil unsuitable for cultivation and its interior largely uninhabitable. Visits by Irish monks and early Norse and Swedish explorers were unfruitful, until the Norse Ingólfur Arnason settled in Reykjavík in 874 AD. Arnason was a part of the wave of emigrants escaping 9th century political strife in Norway. By the early 900s AD, there was a sprinkling of small farms across the island.

Early settlements to the Golden Age

By the mid-10th century, Iceland began to be sparsely populated by some rather tough settlers. In a chronicle of early settlement called the ‘Sagas of the Icelanders’, you will find stories of incredible violence and retribution. A code of laws was established and with it an early parliament, called the Alðing. It was convened in a field on Ingólfur's land, which was later renamed ‘Parliament Fields’ (Aðingvellir), and is now a national park.

The creation of the parliament was the beginning of close to 200 years of peace in the country. For a two-week period every year, the entire population would assemble for the purpose of carrying out all the administrative matters of the island including marriages, business deals, appeals to the highest court and to hear the reading of the decisions of the chiefs and advisors, who were responsible for handling the day-to-day matters of the country. The country was Christianised by the year 1000 AD, at which time churches were erected and schools established.

This period is known as Iceland’s ‘Golden Age’, a time during which the Sagas were written. The Sagas are long, narrative poems, telling the story of the lives of early settlers, intermixed with plenty of fictitious events, and they are still read by most Icelanders today. Leif Ericsson’s discovery of Newfoundland is included in the sagas, as is the claim that Icelandic explorers were the first to reach New York’s harbour.

War and occupation: the 13th to 18th centuries

By the time of the early 13th century, feuding had turned into open war on the island, with the country disintegrating into chaos. King Hákon Hákonarson of Norway took advantage of this situation and claimed control in 1262.

For the next 300 years, Iceland was run by wealthy Norsemen, who levied high taxes on the inhabitants. Also during this time, there were three volcanic eruptions which killed many Icelanders, making this a dark period in the island’s history.

In the 16th century, Denmark took control of Iceland, at the time when the Scandinavian countries had formed a union. For the Icelanders, Danish rule was just as unpleasant as that of Norwegian rule. In 1550, there was a forced Reformation, and the execution of the country’s last Catholic bishop. Danish and Swedish interests were subsequently granted exclusive trading rights with Iceland, which led to extortion and widespread famine. 

There were more volcanic eruptions, the worst of which (in the late 18th century) produced enough poisonous gas to destroy the majority of the island’s pastures, starving most of its cattle and one-fifth of its inhabitants. This is considered the lowest point in Icelandic history.

From the return of self-rule to modern times

From this low point, things continued to improve significantly. Denmark allowed free trade beginning in 1855, and self-rule followed in 1874. In 1918, the Act of Union made Iceland a free state of Denmark, in the same manner that Greenland is today. In 1940, Denmark was occupied by Nazi Germany, and at that time, the Icelanders took more direct control of their country. For the remaining years of WWII, Iceland acted as an independent state, protected by the Allies. Finally, on 17 June, 1944, the Republic of Iceland was formalised.

Iceland enjoyed a peaceful 20th century, with the most significant event being a life-threatening volcanic eruption in 1973, in the Westman Islands. Modern technological advances have helped Icelanders survive and somewhat control the stark conditions on their island. Other relatively recent events have included conflicts over fishing rights with Britain, ending with an agreement in 1976, and continuing displeasure with the presence of a massive US military base at Keflavik.