British troops have transferred control of Basra province to the Iraqi authorities, four and a half years after their occupation began.
The handover marks a significant step towards Britain's final withdrawal from southern Iraq.
British forces will now focus on training Iraqi recruits.
The handover was completed at a signing ceremony attended by the British Commander of the troops who took Basra during the war, Mayor General Graham Binns.
The Governor of Basra, Mohammed al-Wili, told a news conference through a translator that he offered his hand in peace to the different political factions in the city and called on them to disarm.
