Union Jack Union Jack. The Basque Country's flag, the Ikurriña, is also loosely based on the Union Jack, reflecting the significant commercial ties between Bilbao and Britain at the time the Ikurriña was designed in 1894. The Miskito people sometimes use a similar flag that also incorporates the Union Jack in its canton, due to long periods of contact in the Mosquito Coast. The Union Jack was used by the United States in its first flag, the Grand Union Flag. This flag was of a similar design to the one used by the British East India Company. Hawaii, a state of the
Union Jack is permitted on land, but use of the unmodified flag at sea is restricted to military vessels. Unauthorised use of the flag in the 17th century to avoid paying harbour duties – a privilege restricted to naval ships – caused James's successor, Charles I, to order that use of the flag on naval vessels be restricted to His Majesty's ships "upon pain of Our high displeasure." It remains a criminal offence under the Merchant Shipping Act 1995 to display the Union Flag (other than the "pilot jack" – see below) from a British ship. Naval ships will fly the white