From the earliest white settlement at the end of the 18th century, Australians have striven to celebrate a national day, and in so doing, define what it means to be Australian. January 26 1788 has traditionally marked the landing of Captain Arthur Phillip at Port Jackson in present-day Sydney, thereby claiming Australia for the British Empire. Early settlers, perhaps naturally, marked the anniversary.

Australia Day has evolved from a small commemorative New South Wales holiday into a major national celebration. Though it has often been criticised, it remains the most inclusive celebration of a national day in Australia, expressing the national diversity which has become such an important part of the Australian national character.

Australia Day today celebrates diversity and tolerance in Australian society. Whereas once it celebrated the staunchly British nature of Australian society (or was disparaged for this approach), it now embraces multicultural Australia, including all ethnic backgrounds, racial differences and political viewpoints.