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Vancouver Island is governed by an Assembly consisting of two members elected every four years from each of the fifteen electoral districts. The members choose one of their number as Prime Minister, who then selects a Cabinet.

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The Prince reigns as Head of State, and exercises one very important constitutional responsibility. The government is obliged to consult the citizenry, by means of referendum, on broad matters of policy and finance. The duty of the Prince is to ensure that the referendum questions are clear and fairly stated. In the event that he and the Assembly are unable to agree on specific wording, the Prince may dismiss the government and call an election. Under the terms of the Royal Charter, the election must be held within 30 days. In the brief history of the Principality this extraordinary power has never yet been exercised.

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The Prinicipality is a full-fledged member of the British Commonwealth and is awaiting acceptance of its application to the United Nations. Vancouver Island maintains active diplomatic relations with its North American neighbors as well as other countries around the world. In addition, the Prinicipality is a signatory to treaties on trade, defence and environmental protection with Canada and the United States

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