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that is weird, could you post a screenshot of the settlement?  that might help figure out what's going on.

Hi Ser1ph!

Thanks for the reply!
I think I figured it out. It seems that I had overseen the fact that Taskmasters give negative happiness (-5), and I had a bunch of them.  I only managed around this by getting hold of limestone and copper so that I could upgrade the main building and get more Administration points, and thus being able to remove some Taskmasters. Quite interesting balance I must say,  I seem to have tried to overgrow my village too early, and without more advanced resources! :)

I see, glad you figured it out.