Paying the price of war: Britain makes good on historic debts

Debts from bonds issued in 1927 by Winston Churchill going back to the South Sea Bubble, Napoleonic and Crimean wars

A century on, the UK government will start paying back the nations first world war debt, which amounts to £2bn. It announced on Friday it would pay off £218m from a 4% consolidated loan on 1 February 2015, as part of a redemption of bonds stretching as far back as the 18th century.

For those of us who love the gilt market its a sad day theres a few old-timers crying in the corner. But its symbolic more than anything.

We'll redeem £218m of 4% Consols, including debts incurred because of South Sea Bubble. Another financial crisis we're clearing up after...