The South Sea Bubble was a financial collapse of the London stock market in 1720. Named after the South Sea Company, share prices rose rapidly and then the bubble burst. A considerable number of people were left ruined by the share collapse.The South Sea Company was formed to help the government handle its debts created by years of war. The company were also involved in the slave trade, working with the Royal African Company shipping thousands of enslaved people across the Atlantic.

A combination of factors led to the rise in share prices: the company had government backing, there were not many other investment opportunities, and company shares had legal benefits which others did not.

A lot of naïve investors also purchased shares and helped push up prices.

When the bubble burst, there was public outcry.