For much of the twentieth century, Icelanders lived with restrictions on alcohol that shaped social life and national identity. These rules, stretching from total prohibition in 1915 to a curious last holdout on strong beer until 1989, left a lasting cultural footprint visible today.
How prohibition shaped Icelandic society
Prohibition began as the result of a 1908 referendum, where Icelanders opted for a comprehensive ban on all alcoholic beverages. The decision came into force on the first day of 1915. Over the next decades, the law was chipped away but never entirely repealed until the late 1980s. Widespread illegal brewing and smuggling quickly followed the ban, echoing trends in other countries that tried nationwide temperance.
International events soon influenced Iceland’s strict rules. When Spain, a key trading partner, refused to buy Icelandic fish unless Iceland reciprocated by allowing Spanish wine imports, parliament acted. By 1922, wine was officially back on shelves. A further step came in 1935 after a public vote approved the sale of spirits. However, beer with more than 2.25 percent alcohol by volume remained banned, a decision aimed at appeasing those who believed beer’s lower price would encourage younger drinkers.
Beer’s long path back to legality
Parliamentary debates on beer grew more frequent in later years, as exposure to other cultures revived local interest. Some argued that allowing strong spirits but banning beer was illogical, while supporters of the old law, particularly rural representatives and socialists, warned that beer would be especially tempting for adolescents.
An attempt to circumvent the prohibition by mixing legal spirits with non-alcoholic beer, known in Iceland as “pilsner”, briefly gave pubs a workaround. This was outlawed in 1985 by the Minister of Justice and Ecclesiastical Affairs, who did not drink alcohol himself. The legislative impasse finally ended in March 1989, when a significant parliamentary vote brought beer back for good.
Beer Day and changing tastes
The end of Iceland’s beer ban on 1 March 1989 has since become a marker of cultural change, commemorated each year as “Beer Day”. Some locals mark the occasion with a “rúntur”, a festive evening where groups visit several bars, with a handful of venues staying open well past midnight. Since the legalisation, beer has risen to become Iceland’s most consumed alcoholic drink, as recent years have seen overall alcohol consumption increase alongside more liberal policies.
