From Vikings to Football: A Thousand Years of Iceland-UK Relations

During the 9th Century and beyond, Icelanders travelled, traded and fought in England and Scotland. The 15th Century is known in Icelandic history as the ‘English Century’. Towards the end of the 19th Century prominent shops in Reykjavik were named after English and Scottish cities, e.g. Liverpool, Glasgow and Edinburgh. In the 20th Century, many Icelanders became passionately attached to Premier League football clubs and still are.

What does this unrelated miscellany of facts signify? They reflect a vibrant commercial and cultural interaction going back more than one thousand years. Geographic proximity, personal contacts, shared values and fundamental interests have shaped the current bilateral relationship between Iceland and the United Kingdom. The two countries have had differences and disputes but always settled them through peaceful negotiations without loosing the basic affinity which has characterised the relations.

Iceland is not a member of the European Union but participates in the Single Market through the European Economic Area and is a party to the Schengen Agreement. The UK is Iceland´s second largest national market, so Brexit presented a challenge. In a relatively short space of time, both governments agreed on arrangements which include extensive provisions on trade in goods and services. Alas, the free movement of people was not included but Iceland is one of very few European countries to have concluded an agreement with the UK on ‘youth mobility’. There are no impediments to tourism and British citizens are the second largest national group of tourists travelling to Iceland.

Seafood is synonymous with trade between Iceland and the UK and large volumes are brought into harbours on the Humberside, processed and sold all over the country. But with regard to fisheries, Iceland can contribute more than high quality products. The Icelandic government, institutions and companies have valuable experience to share in sustainable stock management, maximum utilisation of ocean catches and use of cutting-edge technology. Now that the UK has again become an independent coastal state, there are enhanced opportunities for cooperation, including in safeguarding migrating fish-stocks in the North-Atlantic.

Iceland´s geostrategic importance became apparent during the Second World War and the Cold War. Facilities and preparedness in Iceland are a prerequisite for monitoring and defending the so-called ‘GIUK Gap’, maintaining the trans-Atlantic sea lines of communication and ensuring the security of neighbouring Allies. Iceland is the only founding member of NATO without national armed forces and, therefore, uniquely dependent on the collective and bilateral security guarantees provided by other Allies. In this respect, Iceland´s defence cooperation with the UK is particularly relevant. Both are islands on the North-Atlantic, open free-market economies and highly ‘connected’ with the outside world. There are many common national security concerns but secure telecommunications through submarine cables are of vital importance and have the attention of both capitals. Iceland´s participation in the UK-led Joint Expeditionary Force adds a new dimension to the bilateral defence cooperation.

Following Russia´s horrendous invasion of Ukraine, Iceland has provided political, financial and material support to Ukrainians, sometimes in cooperation with the UK. This includes training of Ukrainian soldiers in battlefield trauma care by Icelandic paramedics in the UK.

Climate change figures prominently in regular consultations between the governments of Iceland and the UK and both are committed to energy transition and the goal of net-zero. Iceland has the benefit of clean energy sources, hydro and geothermal, and almost all generation of electricity is renewable. However, there are carbon emissions from industry and transportation. There is still considerable work to be done and there are Icelandic companies developing interesting technical solutions, for example, in carbon capture. In Iceland, a large aviation sector and fishing-fleet and reliance on lorries for land transportation, all call for a shift from fossil fuels to practically and economically feasible renewable energy sources. Iceland has not harnessed wind power but the UK has extensive experience. Therefore, relevant public and private actors are following closely the implementation of the energy transition in the UK. Despite difference in scale, closer cooperation could become mutually beneficial.