The immensely popular Diana (dubbed the “People’s Princess”) died in an automobile accident in Paris in 1997, prompting an outpouring of grief, or at least hysteria, throughout the world. The British royal family came under scrutiny for its handling of the matter—especially the queen’s reluctance, because of tradition, to allow the national flag to fly at half-staff over Buckingham Palace. With the queen celebrating her 50th wedding anniversary, the queen mother, Elizabeth, celebrating her 100th birthday, and Charles working hard to improve his public image, the fortunes of the monarchy improved by the end of the 1990s. Nevertheless, the established institutions of the British state had been called into question in an unprecedented way. If the popularity of the monarchy survived, it was largely the result of the queen’s persona; the royal family as a whole—itself the idealized media creation of late Victorian times—frequently had become the object of ridicule. The transformation of the monarchy was indeed emblematic of the very unevenly progressing severance of the British from the long-lived institutions and culture of the 19th century.
To celebrate the new millennium, the monumental Millennium Dome, the largest structure of its kind in the world, and the Millennium Bridge were opened in London. It was perhaps symbolic of the contradictions of this modernity that the dome was dogged by controversy regarding its cost and design and the bridge by the fiasco of its opening, when it was found to move alarmingly above the waters of the Thames when in public use.
The battle for the soul of the Conservative Party
In June 2001 Blair’s government was reelected with a 167-seat majority in the House of Commons—the largest majority ever won by a second-term British government. With the question of European integration continuing to be of great significance in British politics, the new Labour administration chose not to adopt the common European currency, the euro, partly because of a fear of popular response. However, it was on the Conservative side that Britain’s relationship with Europe was most urgently a party issue. It continued to divide a party riven by differences, a party that looked more and more like the Labour Party of the 1980s and early ’90s. Indeed, there is a direct parallel between the recent histories of the two parties: the traditional left of the Labour Party corresponded to the traditional right of the Conservative Party, as both fought hard to stem the tide of party modernization. The battle for the soul of the Conservative Party was joined with growing fervour with the election of David Cameron in December 2005 as its modernizing leader. His subsequent attempt to steer the party back to the political centre, and away from the old order of the Thatcherite legacy, was every bit as difficult as the redirection undertaken by Labour modernizers. In addition to Europe and economic policy, the issue of increased levels of immigration into Britain after 2000 further divided the Conservatives.
Indeed, Britain as a whole became divided on this issue. Large bodies of opinion, stirred up by xenophobia in the popular press, responded with fear and anxiety to increased levels of immigration from central and eastern Europe that were a consequence of European integration. In a more globalized and war-ridden world, the burgeoning flow of asylum seekers into Britain added to this climate, as did the “war on terror.” Asian Muslims, many of them long-standing British citizens and British-born, were nonetheless frequently lumped with immigrants and asylum seekers as part of an undifferentiated external threat to Britishness.
Response to the September 11 attacks