UK says to redeem post-World War I perpetual government bond

LONDON, Oct 31 (Reuters) - Britain's Treasury said it will redeem 218 million pounds of a perpetual government bond first issued in 1927 by then-finance minister Winston Churchill to help pay for World War One.

The finance ministry said on Friday it planned to redeem the 4.0 percent undated bond, called a "Consol", on Feb. 1, 2015.

"I am delighted to be able to announce today that we will repay part of the country's First World War debts," said finance minister George Osborne.

"The fact that we will no longer have to pay the high rate of interest on these gilts means that most important of all, today's decision represents great value for money for the taxpayer." (Reporting by Andy Bruce; Editing by Sonya Hepinstall)