with that name had been Haakon VI, who died in the year 1380. The new king therefore became Haakon VII, King of Norway. His two-year-old son Alexander, the heir apparent, was renamed Olav and became Crown Prince Olav. The new royal family arrived in the capital Kristiania (later Oslo) on 25 November. Haakon VII was sworn in as king of Norway on 27 November. A new monarchy The early years of the new Norwegian monarchy were marked by a shortage of funds. The Norwegian state was poor and funds were needed elsewhere than in the upkeep of a large court. In that sense it was a stroke of good fortune that Prince Carl had set as a condition for accepting the throne that he would not be forced to keep a large court. However the royal travels and the upkeep of the royal residences, after the initial refurbishment in 1905, were to some extent neglected. One example of the negative financial situation is that Prince Carl had been promised a Royal Yacht when he accepted the throne, but this was not fulfilled until 1947. One important incident in the early years of the new monarchy was in 1928 when the King appointed the first Labour government. The Norwegian Labour Party was at that time quite radical and even had the abolition of monarchy as part of their programme. It was the custom for the King to rely on the advice of previous Prime Minister in deciding whom to give the assignment as new Prime Minister. In this case the previous conservative Prime Minister was opposed to giving power to the radicals and advised the appointment of someone else. But the King adhered to the established practice of parliamentarism and decided to appoint Christopher Hornsrud the first Labour Prime Minister. The Labour party later dropped the abolition of monarchy from their programme. During the German occupation of World War II the King was an important symbol of national unity and resistance. His steadfast opposition to the German demands of surrender was important for the fighting spirit of the Norwegian population. The constitutional powers granted to the King in the Norwegian monarchical system made his position very important and enabled the government in exile to continue its work with the utmost legitimacy. After the war the Norwegian royal house succeeded in maintaining a balance between regality and approachability. King Olav V was