Reykjavík during WWII

On 10 May 1940, Iceland was occupied by British troops. A little over a year later, the British presence was replaced by the US military. The wartime occupation had a huge impact on Icelandic society, not least in Reykjavík.

The military authorities offered plenty of employment for Icelanders on a variety of projects and services, and after a long period of unemployment during the Great Depression this gave a much-needed boost to the Icelandic economy.

Icelanders sold large quantities of fish to Britain, in spite of the German embargo and the risk of U-boat attacks. Over 200 Icelandic seamen died during World War II.
In 1940 the population of Iceland numbered 120,000, of whom about 38,000 lived in Reykjavík. In June 1943 about 50,000 Allied troops were stationed in Iceland, the majority in and around Reykjavík. At the height of the occupation, military personnel were almost as numerous as the population of male Icelanders.
Relations between the Icelanders and the foreign military were generally good. Naturally enough, relationships developed between Icelandic women and men in uniform. But many of the foreign troops found their stay in Iceland difficult: they complained of the cold, and tedium.

Reykjavík life was transformed during the war years. The military camps made their mark on the town, and troops were everywhere. Restaurants, shops and services flourished. Popular culture, social life and consumption were transformed by new influences and increased imports. Reykjavík grew and prospered. At the end of the war Icelanders moved into the abandoned military camps to make their homes there.

World War II had such a dramatic impact on Icelandic society that it has sometimes been called blessað stríðið (the “lovely” war)