Over the past generation, the use of the term narrative has spread from literary studies through the social sciences and now into everyday discourse. What was initially a rather specialised term to describe a particular literary form has now a more broad meaning for an imaginative construction of a sequence of events. This chapter explores the emergence of this concept within psychology and how it can contribute to enhancing our understanding of everyday life. It considers the different types of narrative, the role of narrative in personal and collective identity, and the potential of narrative approaches within critical social psychology.