UK to pay back WW1 debts as part of perpetual bond redemption plan

The UK is to pay back its War Loan in full as part of a package of refinancing announcements.

In a pre-Autumn Statement announcement this morning, the Treasury said it will redeem the 3.5% War Loan in March next year as it repays the nation's entire First World War debt. The current perpetual bond was first issued in 1932, replacing the initial 5% 1917 War Loan as part of a move to reduce costs relating to the national debt. Today's move follows the government's 31 October decision to redeem the smaller, £218m 4% Consolidated Loan, which it said was the first repayment of an undated gilt of this kind for 67 years. The government will also explore options to redeem the remai...