Isabella

On 8 February 1813 Isabella, a British ship of 193 tons en route from Sydney to London, ran aground off the coast of Speedwell Island, then known as Eagle Island. Among the ship's 54 passengers and crew, all of whom survived the wreck, was the United Irish general and exile Joseph Holt, who subsequently detailed the ordeal in his memoirs.^[22] Also aboard had been the heavily pregnant Joanna Durie, who on 21 February 1813 gave birth to Elizabeth Providence Durie.

The next day, 22 February 1813, six men who had volunteered to seek help from any nearby Spanish outposts that they could find set out in one of the Isabella's longboats. Braving the South Atlantic in a boat little more than 17 feet (5.2 m) long, they made landfall on the mainland at the River Plate just over a month later. The British gun brig HMS Nancy under the command of Lieutenant William D'Aranda was sent to rescue the survivors.

On 5 April Captain Charles Barnard of the American sealer Nanina was sailing off the shore of Speedwell Island, with a discovery boat deployed looking for seals. Having seen smoke and heard gunshots the previous day, he was alert to the possibility of survivors of a ship wreck. This suspicion was heightened when the crew of the boat came aboard and informed Barnard that they had come across a new moccasin as well as the partially butchered remains of a seal. At dinner that evening, the crew observed a man approaching the ship who was shortly joined by eight to ten others. Both Barnard and the survivors from Isabella had harboured concerns the other party was Spanish and were relieved to discover their respective nationalities.

Barnard dined with the Isabella survivors that evening and finding that the British party were unaware of the War of 1812 informed the survivors that technically they were at war with each other. Nevertheless, Barnard promised to rescue the British party and set about preparations for the voyage to the River Plate. Realising that they had insufficient stores for the voyage he set about hunting wild pigs and otherwise acquiring additional food. While Barnard was gathering supplies, however, the British took the opportunity to seize Nanina and departed leaving Barnard, along with one member of his own crew and three from Isabella, marooned. Shortly thereafter, Nancy arrived from the River Plate and encountered Nanina, whereupon Lieutenant D'Aranda rescued the erstwhile survivors of Isabella and took Nanina itself as a prize of war.

Barnard and his party survived for eighteen months marooned on the islands until the British whalers Indispensable and Asp rescued them in November 1814. The British admiral in Rio de Janeiro had requested their masters to divert to the area to search for the American crew. In 1829, Barnard published an account of his survival entitled A Narrative of the Sufferings and Adventures of Capt Charles H. Barnard.^[23]

Luis Vernet's enterprise

Luis Vernet, 1791–1871

In 1823, the United Provinces of the River Plate granted fishing rights to Jorge Pacheco and Luis Vernet. Travelling to the islands in 1824, the first expedition failed almost as soon as it landed, and Pacheco chose not to continue with the venture. Vernet persisted, but the second attempt, delayed until winter 1826 by a Brazilian blockade, was also unsuccessful. The expedition intended to exploit the feral cattle on the islands but the boggy conditions meant the gauchos could not catch cattle in their traditional way. Vernet was by now aware of conflicting British claims to the islands and sought permission from the British consulate before departing for the islands.

In 1828, the United Provinces government granted Vernet all of East Falkland including all its resources, and exempted him from taxation if a colony could be established within three years. He took settlers, including British Captain Matthew Brisbane (who had sailed to the islands earlier with Weddell), and before leaving once again sought permission from the British Consulate in Buenos Aires. The British asked for a report for the British government on the islands, and Vernet asked for British protection should they return.^[27]

On 10 June 1829, Vernet was designated as 'civil and military commandant' of the islands (no governor was ever appointed) and granted a monopoly on seal hunting rights. A protest was lodged by the British Consulate in Buenos Aires. By 1831, the colony was successful enough to be advertising for new colonists, although USS Lexington's report suggests that the conditions on the islands were quite miserable.^[28] Charles Darwin's visit in 1833 confirmed the squalid conditions in the settlement, although Captain Matthew Brisbane (Vernet's deputy) later claimed that this was the result of the Lexington raid.^[29]

USS Lexington raid

In 1831, Vernet attempted to assert his monopoly on seal hunting rights. This led him to capture the American ships Harriet, Superior and Breakwater. As a reprisal, the United States consul in Buenos Aires sent Captain Silas Duncan of USS Lexington to recover the confiscated property. After finding what he considered proof that at least four American fishing ships had been captured, plundered, and even outfitted for war, Duncan took seven prisoners aboard Lexington and charged them with piracy.

Also taken on board, Duncan reported, "were the whole of the (Falklands') population consisting of about forty persons, with the exception of some 'gauchos', or cowboys who were encamped in the interior." The group, principally German citizens from Buenos Aires, "appeared greatly rejoiced at the opportunity thus presented of removing with their families from a desolate region where the climate is always cold and cheerless and the soil extremely unproductive". However, about 24 people did remain on the island, mainly gauchos and several Charrúa Indians, who continued to trade on Vernet's account.

Measures were taken against the settlement. The log of Lexington reports destruction of arms and a powder store, while settlers remaining later said that there was great damage to private property.^[30] Towards the end of his life, Luis Vernet authorised his sons to claim on his behalf for his losses stemming from the raid. In the case lodged against the US Government for compensation, rejected by the US Government of President Cleveland in 1885, Vernet stated that the settlement was destroyed.^[31]

Penal colony and mutiny

In the aftermath of the Lexington incident, Major Esteban Mestivier was commissioned by the Buenos Aires government to set up a penal colony. He arrived at his destination on 15 November 1832 but his soldiers mutinied and killed him. The mutiny was suppressed by armed sailors from the French whaler Jean Jacques, whilst Mestivier's widow was taken on board the British sealer Rapid. Sarandí returned on 30 December 1832 and Major José María Pinedo took charge of the settlement.^[32]

Establishment of Port Stanley

Halfpenny postage stamp, issued 1891, bearing the head of Queen Victoria

In 1833 the United Kingdom asserted authority over the Falkland Islands and Richard Clement Moody, a highly esteemed Royal Engineer, was appointed as Lieutenant Governor of the islands. This post was renamed Governor of the Falkland Islands in 1843, when he also became Commander-in-Chief of the Falkland Islands. Moody left England for Falkland on 1 October 1841 aboard the ship Hebe and arrived in Anson's Harbour later that month. He was accompanied by twelve sappers and miners and their families; together with Whittington's colonists this brought the population of Anson's Harbour to approximately 50. When Moody arrived, the Falklands was 'almost in a state of anarchy', but he used his powers 'with great wisdom and moderation'^[39] to develop the Islands' infrastructure and, commanding detachment of sappers, erected government offices, a school and barracks, residences, ports, and a new road system.

In 1842, Moody was instructed by Lord Stanley the British Secretary of State for War and the Colonies to report on the potential of the Port William area as the site of the new capital. Moody assigned the task of surveying the area to Captain Ross, leader of the Antarctic Expedition. Captain Ross delivered his report in 1843, concluding that Port William afforded a good deep-water anchorage for naval vessels, and that the southern shores of Port Jackson was a suitable location for the proposed settlement. Moody accepted the recommendation of Ross and construction of the new settlement started in July 1843. Inn July 1845, at Moody's suggestion, the new capital of the islands was officially named Port Stanley after Lord Stanley. Not everyone was enthused with the selection of the location of the new capital, J. B. Whittington famously remarked that "Of all the miserable bog holes, I believe that Mr Moody has selected one of the worst for the site of his town."

The structure of the Colonial Government was established in 1845 with the formation of the Legislative Council and Executive Council and work on the construction of Government House commenced. The following year, the first officers appointed to the Colonial Government took their posts; by this time a number of residences, a large storage shed, carpenter's shop and blacksmith's shop had been completed and the Government Dockyard laid out. In 1845 Moody introduced tussock grass into Great Britain from Falkland, for which he received the gold medal of the Royal Agricultural Society.^[40] The Coat of arms of the Falkland Islands notably includes an image of tussock grass.^[41] Moody returned to England in February 1849.^[40] Moody Brook is named after him.^[40]

With the establishment of the deep-water anchorage and improvements in port facilities, Stanley saw a dramatic increase in the number of visiting ships in the 1840s in part due to the California Gold Rush. A boom in ship provisioning and ship-repair resulted, aided by the notoriously bad weather in the South Atlantic and around Cape Horn. Stanley and the Falkland Islands are famous as the repository of many wrecks of 19th-century ships that reached the islands only to be condemned as unseaworthy and were often employed as floating warehouses by local merchants.

At one point in the 19th century, Stanley became one of the world's busiest ports. However, the ship-repair trade began to slacken off in 1876 with the establishment of the Plimsoll line, which saw the elimination of the so-called coffin ships and unseaworthy vessels that might otherwise have ended up in Stanley for repair. With the introduction of increasingly reliable iron steamships in the 1890s the trade declined further and was no longer viable following the opening of the Panama Canal in 1914. Port Stanley continued to be a busy port supporting whaling and sealing activities in the early part of the 20th century, British warships (and garrisons) in the First and Second World War and the fishing and cruise ship industries in the latter half of the century.

Christ Church Cathedral in Stanley with Whalebone Arch

Government House opened as the offices of the Lieutenant Governor in 1847. Government House continued to develop with various additions, formally becoming the Governor's residence in 1859 when Governor Moore took residence. Government House remains the residence of the Governor.

Many of the colonists begin to move from Ansons' Harbour to Port Stanley. As the new town expanded, the population grew rapidly, reaching 200 by 1849. The population was further expanded by the arrival of 30 married Chelsea Pensioners and their families. The Royal Falkland Islands Police were established in November 1846 with the appointment of Francis Parry as Chief Constable.^[42] The force was initially staffed by three officers – the Chief Constable, the Gaoler (responsible for prisoners), and the Night Constable (responsible for policing during the night). The Constables Ordinance 1846, which had been enacted by the colony's Legislative Council on 27 October of that year.^[42] The Chelsea Pensioners were to form the permanent garrison and police force, taking over from the Royal Sappers and Miners Regiment which had garrisoned the early colony.

The Exchange Building opened in 1854; part of the building was later used as a church. 1854 also saw the establishment of Marmont Row, including the Eagle Inn, now known as the Upland Goose Hotel. In 1887, Jubilee Villas were built to celebrate the Golden Jubilee of Queen Victoria. Jubilee Villas are a row of brick built houses that follow a traditional British pattern; positioned on Ross road near the waterfront, they became an iconic image during the Falklands War.

Peat is common on the islands and has traditionally been exploited as a fuel. Uncontrolled exploitation of this natural resource led to peat slips in 1878 and 1886. The 1878 peat slip resulted in the destruction of several houses, whilst the 1886 peat slip resulted in the deaths of two women and the destruction of the Exchange Building.

Christ Church Cathedral was consecrated in 1892 and completed in 1903. It received its famous whalebone arch, constructed from the jaws of two blue whales, in 1933 to commemorate the centenary of continuous British administration. Also consecrated in 1892 was the Tabernacle United Free Church, constructed from an imported timber kit.

Development

One of the remaining historic corrals at Sapper Hill, near Stanley.

A few years after the British had established themselves in the islands, a number of new British settlements were started. Initially many of these settlements were established in order to exploit the feral cattle on the islands. Following the introduction of the Cheviot breed of sheep to the islands in 1852, sheep farming became the dominant form of agriculture on the Islands.

Salvador Settlement was one of the earliest, being started in the 1830s, by a Gibraltarian immigrant (hence its other name of "Gibraltar Settlement"), and it is still run by his descendants, the Pitalugas.

Cattle were concentrated in the southern part of East Falkland, an area that became known as Lafonia. Lafone was an absentee landlord and never actually set foot on the islands. His activities were not monitored by the British and rather than introducing more British settlers as he promised, he brought large numbers of Spanish and Indian gauchos to hunt cattle. In 1846, they established Hope Place on the south shores of Brenton Loch. Vernet furnished Samuel Fisher Lafone, a British merchant operating from Montevideo, with details of the Falkland Islands including a map. Sensing that the exploitation of feral cattle on the islands would be a lucrative venture, in 1846 he negotiated a contract with the British Government that gave him exclusive rights to this resource. Until 1846 Moody had allotted feral cattle to new settlers and the new agreement not only prevented this but made Stanley dependent upon Lafone for supplies of beef. In 1849 a sod wall (the Boca wall) was built across the isthmus at Darwin to control the movement of cattle.

Falkland Islands Company's historical building in Stanley

Lafone continued to develop his business interests and in 1849 looked to establish a joint stock company with his London creditors. The company was launched as The Royal Falkland Land, Cattle, Seal and Fishery Company in 1850 but soon thereafter was incorporated under Royal Charter as The Falkland Islands Company Limited. Lafone became a director and his brother-in-law J.P. Dale the company's first manager in the islands. By 1852, the feral cattle had been hunted virtually to extinction by gauchos and the company switched to sheep farming with the introduction of the Cheviot breed of sheep. Hope Place proved to be an unsuitable location and the operation moved to Darwin. In 1860, the Lafone Beef contract was terminated but the Falkland Islands Company was given a grant to Lafonia. Ownership of the remaining cattle outside of Lafonia reverted to the Crown and hunting cattle without permission was banned.

In the second half of the 19th century, Darwin, Goose Green, Fox Bay and Port Howard were established. Port Howard was founded by James Lovegrove Waldron, and his brother in 1866; the Waldron brothers later left for Patagonia, but left the farm under local management.^[43]

Darwin was initially the haunt of gauchos and cattle farmers, but sheep farming came to dominate the area, and Scottish shepherds were brought in. A few years later, the first large tallow works in the islands (though not the first) was set up by the FIC in 1874. It handled 15,891 sheep in 1880.^[44]

From the 1880s, until 1972, Darwin and Fox Bay had their own separate medical officers. Nowadays, most medical care is based in Stanley.^[44]

Exploitation of maritime resources

The Falkland Islands were used as a base for whaling ships hunting the southern right whale and sperm whale from the 1770s until British authority was established over the islands and surrounding seas. Whaling was briefly revived with the establishment of a whaling station on New Island from 1909 to 1917 until whaling operations moved to South Georgia.

Fur seals had long been exploited for their pelts but numbers entered a drastic decline in the early 19th century. As a result, seal hunting died off, although continuing at a low level. In order to conserve stocks, a ban on the hunting of fur seals during summers months was enacted in 1881, but it was not until 1921 that hunting was banned entirely.

Elephant seals were exploited for oil but like the fur seals their numbers declined drastically in the mid-1850s. Sealers instead turned their attention to the South American sea lion resulting in a dramatic decline in their numbers that made sealing uneconomic. Attempts to revive the trade, including a sealing station at Port Albemarle, were unsuccessful.

Even penguins were exploited for oil. Rockhopper and gentoo penguins were rendered down in trypots from 1860 until the 1880s.

Establishment of communications

Although the first telephone lines were installed by the Falkland Islands Company in the 1880s, the Falkland Islands Government was slow to embrace telephony. It was not until 1897 that a telephone line was installed between Cape Pembroke lighthouse and the police station. The islands isolation was broken in 1911 when Guglielmo Marconi installed a wireless telegraphy station that enabled telegrams to be sent to mainland Uruguay.^[45]

A line was laid between Darwin and Stanley, with the ship Consort landing poles on the coast. Construction commenced in 1906 and was finished in 1907 (a length of nearly 50 miles or 80 kilometres). The line was initially only for business but the public could make calls occasionally.^[44] Lines continued to be laid to most of the major settlements in the islands, with the Falkland Islands police responsible for their maintenance until 1927. Communications among the settlements relied on the telephone network until radio telephones were introduced in the 1950s, although the telephone network continued until 1982.^[45] Telecommunications improved dramatically after the Falklands War, when an earth station was installed to allow direct dialling for the first time. In 1997, an Internet service was launched and by 2002 nearly 90% of Falkland homes had Internet access.^[45]

Economic development

The freezer plant at Ajax Bay. Most of the workers' cottages were moved to Stanley

In 1911 the islands had 3,275 inhabitants of whom 916 lived in Port Stanley.^[46] A canning factory was opened in 1911 at Goose Green and was initially extremely successful. It absorbed a large proportion of surplus sheep but during the postwar slump it suffered a serious loss and closed in 1921.^[44]

Despite this setback, a mere year later, the settlement grew after it became the base for the Falkland Islands Company's sheep farm in Lafonia in 1922, with improved sheep handling and wool shed being built.^[44] In 1927, the settlement's huge sheep shearing shed was built, which is claimed to be the world's largest, with a capacity of five thousand sheep.^[43] In 1979, 100,598 sheep were shorn at Goose Green.^[44]

The mid-20th century saw a number of abortive attempts to diversify the islands' economy away from large scale sheep ranching.

In the period just after the Second World War, Port Albemarle, in the south west of West Falkland, was enlarged by the Colonial Development Company and included its own power station, jetty, Nissen huts etc.; this was an attempt to revive the old sealing industry which had flourished during the 19th century. However, the project proved to be nonviable, not least because seal numbers had declined massively.

Islanders shovelling peat (1950s)

Similarly, Ajax Bay on Falkland Sound, was developed by the Colonial Development Corporation in the 1950s, which was also responsible for developing Port Albemarle. It was mainly a refrigeration plant, and was supposed to freeze Falkland mutton, but this was found to be economically nonviable, despite the huge expense incurred. Many of the pre-fabricated houses here were moved to Stanley. The site later became a British field hospital during the landings of Operation Sutton.

The seas around the Falkland Islands were not well policed prior to the Falklands War, and many foreign boats fished off the islands, despite protests that potential revenue was being lost. Fishing licences were only later to be introduced.

Education

In 1956, J. L. Waldron Ltd built a school at Port Howard, possibly inspired by the "gift" of the FIC at Darwin, a few years earlier.^[44]

Up until the 1970s, Goose Green was the site of a boarding school, run by the state. "Camp" children boarded here, and there were 40 spaces. The boarding school was later transferred to Stanley, although the recent emphasis has been on locally based education. The school itself became an Argentine HQ, and was burnt down. A new (day) school has been built for local children.^[43]

First World War

HMS Canopus. Canopus Hill in the Falkland Islands commemorates her role in the Battle of the Falkland Islands.

The Battle of the Falkland Islands, 8 December 1914. The German armoured cruisers under Admiral von Spee that had been raiding British sealanes were sunk by a British battlecruiser task force.

Port Stanley became an important coaling station for the Royal Navy. This led to ships based there being involved in major naval engagements in both the First and Second World Wars.

The strategic significance of the Falkland Islands was confirmed by the second major naval engagement of the First World War. Admiral Graf Maximilian von Spee's East Asia Squadron called at the islands on its trip from the Pacific Ocean back to Germany, intending to destroy the Royal Navy radio relay station and coaling depot there. Unknown to von Spee, a British squadron, including two battlecruisers considerably more powerful than his forces, had been sent to hunt down his squadron and happened to be in the harbour coaling. In the one-sided battle which followed, most of von Spee's squadron was sunk. Canopus Hill, south of Stanley, is named after HMS Canopus, which had fired the first shot in the battle.

Second World War

The Falkland Islands Defence Force was called out to man gun positions and signalling posts around Stanley as soon as word was received of Britain's declaration of war on 3 September 1939. Mounted patrols were carried out in the Camp, and coast-watching stations were created around the islands to guard against the approach of enemy ships and the landing of enemy forces. The Falkland Islanders experienced much the same kind of war-time privations and restrictions as the British population, including black-outs, travel restrictions, and rationing.^[47]

In December 1939, in the immediate aftermath of the Battle of the River Plate, County-class heavy cruiser HMS Cumberland, which had been self-refitting in the Falkland Islands at the time of the battle, steamed to join HMS Ajax and HMS Achilles at the mouth of the River Plate, trapping the German cruiser Admiral Graf Spee. Convinced by British propaganda and false intelligence that a major naval task force awaited his ship and short of ammunition, Captain Langsdorf of Admiral Graf Spee chose instead to scuttle the ship rather than face the Royal Navy.^[47]

Operation Tabarin, an expedition to the Antarctic, was mounted from the islands during the war. The purpose of the expedition was to assert Britain's claims on the continent, as well as gather scientific data. Operation Tabarin was later replaced by the Falkland Islands Dependencies Survey, which was later renamed the British Antarctic Survey.^[47]

In 1942, in response to the Japanese entry into the war, additional forces were sent to the islands to strengthen their defence against invasion. The largest component of these additional forces was a battalion of the West Yorkshire Regiment. In 1944, as a result of the reduced threat of invasion from Japan, the West Yorks were replaced by a smaller contingent of the Royal Scots.^[47]

Over the whole war more than 150 Falkland Islanders out of a population of only 2,300 volunteered for the British armed forces - 6.5% of the entire population - 24 of whom did not return. In July 1944, all volunteers were given the right to be identified by a "Falkland Islands" shoulder-flash.^[47] In addition to these contributions to the British war-effort, the Falkland Islands also donated five Supermarine Spitfires to the British Royal Air Force.^[48]

Argentine incursions

With the exception of an attempt by President Juan Perón to buy the Falkland Islands in 1953 which was rejected as inconceivable by the British government,^[49] the immediate post-war period was fairly uneventful. However, a series of incidents in the 1960s marked the intensification of Argentine sovereignty claims.

The first of these took place in 1964, when a light plane piloted by Miguel Fitzgerald touched down on the racecourse at Stanley. Leaping from the aircraft, he handed a letter claiming sovereignty to a bemused islander before flying off again. The stunt was timed to coincide with Argentine diplomatic efforts at the UN Decolonisation Committee.

Miguel L. Fitzgerald flew to the Falkland Islands in a light aircraft in 1964 and 1968. (Originally published by Crónica, 9 September 1964.)

A more serious incident took place on 28 September 1966 when eighteen young Peronists staged a symbolic invasion of the Islands by hijacking an Aerolíneas Argentinas airliner and landing it in Stanley; the group called this action Operativo Cóndor. There, they raised seven Argentine flags and took four islanders hostage. The planning had been done during a trip to the islands that one of the leaders had made as a tourist.^{[50][51] [52][53]} The airliner left at from Buenos Aires, bound for Río Gallegos with 48 passengers on board, including Argentine Rear Admiral José María Guzmán, who was on his way to Tierra del Fuego, an Argentine territory of which he was governor. Two armed men entered the flight deck and ordered the pilot to change course toward the Falklands. The pilot attempted to land at the racecourse but the plane hit telegraph poles, and the undercarriage sank into the mud. Islanders, assuming that the plane was in trouble, rushed to assist but found themselves taken hostage by the hijackers^[52] (included in the group of four was a young police sergeant, Terry Peck, who became a local hero in the Falklands War).^[52] Les Gleadell, acting Governor of the Falkland Islands, ordered that the DC-4 be surrounded.^[54] He received three of the invaders, who announced that they had as much right as anyone to be there and in reply were firmly told that they should disarm and give up. The result of this meeting was an agreement that seven men, including Peck and Captain Ian Martin, commanding a four-man Royal Marines detachment, should be exchanged for the hostages aboard the aircraft. The 26 passengers were then allowed to disembark and sent to lodge with local families, as the island had no hotel. On being taken past the governor's residence, Guzmán laughingly commented: "Mi casa" ("my house").^[55]

After a bitterly cold night in the aircraft, which contained only brandy, wine, orange juice and a few biscuits, the kidnappers surrendered.^[55] They were kept locked up in an annex to St Mary's Church for a week until they were put aboard an Argentine ship, the Bahía Buen Suceso, which had lingered outside the harbor awaiting conclusion of the affair. The men were tried in Argentina on crimes that included illegal deprivation of freedom, possession of weapons of war, illegal association, piracy, and robbery in the open. The leaders were sentenced to three years in prison and the others to nine months.^[51][52]

On October of the same year a group of Argentine naval special forces conducted covert landings from the submarine ARA Santiago del Estero. The 12-man team, which landed some 40 kilometres (25 mi) from Stanley, was led by Juan José Lombardo who later, as Chief of Naval Operations, planned the 1982 invasion of the Falkland Islands.^[56]

The locally upgraded Balao-class submarine ARA Santiago del Estero, Argentine Naval Base at Mar del Plata, circa 1969

In November 1968, Miguel Fitzgerald was hired by the Argentine press to attempt a reprise of his 1964 landing. Accompanied by one of the 1966 hijackers, he flew to Stanley but on arrival found he could not land at the racecourse due to obstacles placed following the hijacking. The plane was forced to crash land on Eliza Cove Road, but the two occupants were unharmed. The stunt was intended to coincide with the visit of Lord Chalfont to the islands.

The latter incident proved counter-productive to the Argentine sovereignty push, as Lord Chalfont had been talking to a public meeting at the time of the plane's arrival. The islanders made it plain to Lord Chalfont that they rejected a Memorandum of Agreement negotiated between Britain and Argentina that August which stated that Britain was prepared to discuss sovereignty provided the islanders' wishes were respected. This spurred the formation of the Falkland Islands Committee by London barrister Bill Hunter-Christie and others. The Emergency Committee, as it became known, proved to be an effective lobbying organisation, constantly undermining Foreign Office initiatives on sovereignty negotiations. In December 1968, the lobbying effort managed to force the British Government to state that the islanders' wishes would be paramount.

Growing links with Argentina

Partly as the result of diplomatic pressure, economic and political links with Argentina increased in the 1960s and 1970s. These became severed after the end of the Falklands War, but before the war they were not entirely negative, and some islanders sent their children to boarding schools in Argentina.

Realising that any talks on the sovereignty issue would be derailed if it did not meet with the islanders' wishes, the British and Argentine Governments enacted a series of measures designed to encourage dependence on Argentina. In 1971, following secret talks between the two Governments (and without consulting the islanders), the communications agreement was signed. The thrust of the agreement was the establishment of direct air and sea links between the islands and Argentina, together with agreements on postal and telephony services. Following the agreement the subsidised shipping link with Montevideo ended, a passenger and cargo ship service to the mainland (that would ameliorate any dependence on Argentina) was promised by the British but never provided.

Líneas Aéreas del Estado (LADE), the airline operated by the Argentine Air Force (Fuerza Aérea Argentina or FAA), began an air link to the islands. Initially this service operated amphibious aircraft between Comodoro Rivadavia and Stanley using Grumman HU-16 Albatross aircraft.^[57] The inauguration of the service was commemorated by a series of stamps issued by both the Argentine and Falkland Island postal services. In 1972, a temporary airstrip was constructed by Argentina near Stanley. Britain constructed a small permanent airstrip in 1976 suitable only for short haul flights.

As part of the agreement, islanders had to travel via Argentina and were forced to carry Argentine Identity Cards issued in Buenos Aires. The Tarjeta Provisoria or "white card" as they were known were hated by the islanders, who felt they were a de facto Argentine passport, since only islanders were required to use them and not other temporary residents of the islands. Tensions were raised further with the agreement that male Falkland Islanders would not have to undertake conscription into the Argentine Army, since this carried the implication that Falkland Islanders were Argentine citizens.

LADE set up an office in Stanley and mail was routed through Argentina. Medical treatments unavailable in the islands were provided in Argentina and scholarships were made available for study in Buenos Aires, Córdoba and other Argentine cities. Spanish language teachers were provided by Argentina. Foreign Office officials in Stanley were instructed to do everything possible to foster good relations between the Falkland Islands and Argentina.

The islands became more dependent upon Argentina, when the British and Argentine governments agreed that the islands would be supplied with petrol, diesel and oil by YPF, the Argentine national oil and gas company.

Prime Minister Jim Callaghan sent a naval task force in response to Argentine pressure in 1976.

Despite these tensions relationships between the islanders and the Argentines operating the new services in the islands were cordial. Although there was apprehension, politics were generally avoided and on a one-to-one basis there was never any real hostility.

On the international level, relations began to sour in 1975 when Argentine delegates at the London meeting of the International Parliamentary Union condemned Britain's "act of international piracy" in establishing a colony in the Falkland Islands. Diplomatic relations between Britain and Argentina were broken but resumed in 1976.

In October 1975, the British Government tasked Lord Shackleton (son of the Antarctic explorer Sir Ernest Shackleton) with an economic survey of the Falkland Islands. The Argentine Government reacted furiously and refused permission for Lord Shackleton to travel via Argentina. Later the ship transporting Shackleton to the islands, RRS Shackleton, was fired upon by the Argentine destroyer ARA Almirante Storni.

In 1976, after a military junta took control of the country, Argentina covertly established a military base on Southern Thule. It was discovered by the British Antarctic Survey ship RRS Bransfield in 1977. The British protested but restricted their response to a diplomatic protest. Backing up the diplomatic efforts, the British Prime Minister Jim Callaghan sent a naval task force consisting of surface ships and a nuclear submarine. Nevertheless, Argentine aircraft and warships harassed ships fishing in Falkland waters.

Lord Shackleton's report was delivered in 1977 and documented the economic stagnation in the islands. It nevertheless concluded that the islands made a net contribution to the British economy and had economic potential for development. Recommendations included oil exploration, exploitation of the fisheries, extension of the Stanley runway, the creation of a development agency, the expansion of the road network, expansion of the facilities at Stanley harbour and the breakdown of absentee landlord owned farms into family units. The report was largely ignored at the time, as it was felt that acting upon it would sour relations with Argentina. A reprise of the report by Lord Shackleton in 1982 following the Falklands War became the blueprint for subsequent economic development of the islands.

Falklands War

A message issued by the Argentine Military Governor during the occupation warning the Islanders against attempts to sabotage Argentine military equipment.

Argentina invaded the islands on 2 April 1982, using special forces, which landed at Mullet Creek and advanced on Government House in Stanley, with a secondary force coming in from Yorke Bay. They encountered little opposition, there being only a small force of fifty-seven British marines and eleven sailors, in addition to the Falkland Islands Defence Force (who were later sent to Fox Bay). There was only one Argentine fatality. The event garnered international attention at a level which the islands had never experienced before, and made them a household name in the UK.

For a brief period, the Falkland Islands found themselves under Argentine control. This included Spanish-language signage, and attempts to make the islanders drive on the right (although few roads in the Falklands at the time actually had two lanes). In many parts of the Camp, such as Goose Green and Pebble Island, the islanders found themselves under house arrest.

The British responded with an expeditionary force that landed seven weeks later and, after fierce fighting, forced the Argentine garrison to surrender on 14 June 1982. The war proved to be an anomaly in a number of different respects, not least that it proved that small arms still had a role to play. It also had major consequences for the military junta, which was toppled soon afterwards.

Margaret Thatcher's general political legacy remains controversial and divisive within the UK and within the context of the Falklands her government's withdrawal of HMS Endurance is a stated contributing factor to the causes of the conflict because it gave the wrong signals about the UK attitude towards maintaining its possession. However, within the Falklands, she is considered a heroine because of the determination of her response to the Argentine invasion. The islanders celebrate Margaret Thatcher Day on 10 January; and Thatcher Drive in Stanley is named after her.^[58]

Increased British military presence and new bases

After the war, the British still faced potential future aggression, so an aircraft carrier was kept on station guarding the islands with its squadron of Sea Harriers, while the local airfield was prepared for jet aircraft. HMS Hermes took guard duty first, whilst HMS Invincible went north to change a gearbox. Invincible then returned to relieve Hermes, which urgently needed to have its boilers cleaned. Invincible remained until HMS Illustrious was rushed south (being commissioned during the journey). Once the Port Stanley runway was ready for jets, several RAF F-4 Phantoms were stationed there, relieving Illustrious.

The islands lacked barracks for a permanent garrison, so the Ministry of defence chartered two former car ferries as barracks ships: Rangatira from the Union Company of New Zealand and Saint Edmund from Sealink in Britain.^[64] Rangatira arrived in Port Stanley on 11 July 1982 and stayed until 26 September 1983.^[64]

Later, the British government decided to construct a new RAF base as the centrepiece of plans to strengthen the island defences and deter any further attempts to take the Falklands by force. This was a massive undertaking — including construction of the world's longest corridor, one-half mile (800 metres) linking the barracks, messes, recreation and welfare areas of the base.^[65] The base is occasionally referred to by residents as "the Death Star" because of its vast size and sometimes confusing layout.

RAF Mount Pleasant

Mount Pleasant, to the west of Stanley, was chosen as the site for the new base. The airfield was opened by The Duke of York in 1985, and became fully operational in 1986.^[66]

Using the IATA airport code MPN, RAF Mount Pleasant also acts as the Falkland Islands' only international airport, in addition to its military role. Flights open to civilian passengers are operated twice-weekly.^[67] These flights are currently operated by a civilian airline on behalf of the Royal Air Force, and fly to and from RAF Brize Norton in Oxfordshire, UK with a refuelling stop at RAF Ascension Island in the south-central Atlantic Ocean. Chilean airline LAN Airlines also operate weekly flights from Santiago.^[67]

Attempts at diversifying the economy

A squid trawler, and a cruise ship in Port William representing two trends in recent economic development

Before the Falklands War, sheep-farming was the Falkland Islands' only industry.^[68] Since the late 1980s, when two species of squid popular with consumers were discovered in substantial numbers near the Falklands, fishing has become the largest part of the economy.^[69]

On 14 September 2011, Rockhopper Exploration announced plans under way for oil production to commence in 2016, through the use of Floating production storage and offloading (FPSO) technology, replicating the methodology used on the Foinaven field off the Shetland Islands.^[70] The production site will require approximately 110 people working offshore and another 40 working onshore.^[71] The oil is expected to trade at 90–105% of the Brent crude price.^[72]

Some small businesses attempted at Fox Bay have included a market garden, a salmon farm and a knitting mill with "Warrah Knitwear".

Tourism is the second-largest part of the economy.^[69] The war brought the islands newfound fame; now tourists come both to see wildlife and go on war tours. Cruise ships often visit, frequently as a tie-in to Antarctica.^[68] Nonetheless, the remoteness of the archipelago, and the lack of direct flights to major cities, make the Falklands an expensive destination.

Conservation

In line with increasing global interest in environmental issues, some nature reserves have been established around the islands, although there are no national parks. In 1990, the Clifton family who owned Sea Lion Island sold it to the Falkland Island Development Company. They had planted 60,000 stands of tussac grass,^[43] considered important because on the main islands much tussac has been depredated by grazing. A similar trend may be seen on Bleaker Island, where the farm "went organic" in 1999. Also in the 1990s, Steeple Jason Island and Grand Jason Island were bought by New York philanthropist Michael Steinhardt, who later donated them to the Bronx Zoo-based Wildlife Conservation Society. He also gave them US$425,000 to build a conservation station named after himself and his wife Judy.^[73]