U.K. to Pay Off World War I Bonds

Chancellor of the Exchequer George Osborne announced Wednesday that the United Kingdom will pay off the remainder of its debt from World War I. The outstanding debt of nearly $3 billion from a 3.5 percent loan will be repaid on March 9, 2015. More than 120,000 investors hold War Loan bonds. The bonds were issued by Chancellor Neville Chamberlain in 1932. It replaced a bond that paid at a rate of 5 percent to investors. This repayment is the first time the U.K. government has paid off a bond such as this in 67 years. According to the government, the country has paid nearly $9 billion in total interest on the 5 percent and 3.5 percent bonds. The government is also now looking to pay off other bonds, including some debt issued in the 1700s.